A friend asked me what was going on with the position in $UAI over the past couple of days, so I briefly explained:
“The price has dropped 39.98% in 24 hours, while open interest has risen 59.16%. Usually, that means short positions are being opened. But if the shorts get too crowded, you also have to watch out for a short squeeze.”
My friend then asked what to do. I said I didn’t know either—I usually just watch and wait for the price to show a direction before deciding.
#UAI
Not a recommendation. Make your own trading decisions.
“The price has dropped 39.98% in 24 hours, while open interest has risen 59.16%. Usually, that means short positions are being opened. But if the shorts get too crowded, you also have to watch out for a short squeeze.”
My friend then asked what to do. I said I didn’t know either—I usually just watch and wait for the price to show a direction before deciding.
#UAI
Not a recommendation. Make your own trading decisions.