Rise, rise, good kid, rise slowly.
The more you rise, the more excited I get. The order is already placed, short at 1760, just waiting for you to rise so I can get in.
$SNDK, the trend, I really like it more and more the more I watch.
This morning it plunged from 1724 all the way down to 1565, then slowly rebounded back to 1667 in the afternoon, fluctuating over 100 points back and forth.
On the 15-minute chart, it is now moving sideways around 1667.
MA5 is at 1669, MA10 at 1654, MA20 at 1617, MA60 at 1609, MA120 at 1646.
Short-term moving averages are starting to converge, MA5 is flat, indicating a stalemate between bulls and bears at this level.
The more it grinds like this, the more I feel it’s giving short sellers a stepping stone.
I’ve been watching the 1760 level for a while.
There is obvious selling pressure near the previous high around 1825; 1760 is a good entry point for shorting. Placing a short here means you can attack or defend; if it pulls up, you catch it, if not, you keep waiting.
If it really pulls up to 1760, shorting in there will likely catch a wave of pullback.
There was big news before the market opened today: SK Hynix announced a 40 trillion KRW buyback and cancellation plan, causing storage chip stocks to surge pre-market, and SanDisk also rose about 2%.
Many believe that with Hynix’s buyback, the storage sector is about to take off, and SanDisk, as the smaller player, should take the second spot.
The logic is sound; buybacks are real cash purchases, and short-term sentiment is indeed bullish.
But on the other hand, Hynix’s buyback is Hynix’s business. SanDisk has already risen over 80% from 972 to 1825. Relying on a "big brother’s buyback" to push it up again, I have doubts about the sustainability.
Good news fully priced in often turns into bad news.
Once this news came out, I believe many will chase the rise, thinking the storage sector is about to collectively take off.
But this is exactly the scenario that market makers love to see.
Retail investors rush in to take the baton, allowing them to slowly.
The more you rise, the more excited I get. The order is already placed, short at 1760, just waiting for you to rise so I can get in.
$SNDK, the trend, I really like it more and more the more I watch.
This morning it plunged from 1724 all the way down to 1565, then slowly rebounded back to 1667 in the afternoon, fluctuating over 100 points back and forth.
On the 15-minute chart, it is now moving sideways around 1667.
MA5 is at 1669, MA10 at 1654, MA20 at 1617, MA60 at 1609, MA120 at 1646.
Short-term moving averages are starting to converge, MA5 is flat, indicating a stalemate between bulls and bears at this level.
The more it grinds like this, the more I feel it’s giving short sellers a stepping stone.
I’ve been watching the 1760 level for a while.
There is obvious selling pressure near the previous high around 1825; 1760 is a good entry point for shorting. Placing a short here means you can attack or defend; if it pulls up, you catch it, if not, you keep waiting.
If it really pulls up to 1760, shorting in there will likely catch a wave of pullback.
There was big news before the market opened today: SK Hynix announced a 40 trillion KRW buyback and cancellation plan, causing storage chip stocks to surge pre-market, and SanDisk also rose about 2%.
Many believe that with Hynix’s buyback, the storage sector is about to take off, and SanDisk, as the smaller player, should take the second spot.
The logic is sound; buybacks are real cash purchases, and short-term sentiment is indeed bullish.
But on the other hand, Hynix’s buyback is Hynix’s business. SanDisk has already risen over 80% from 972 to 1825. Relying on a "big brother’s buyback" to push it up again, I have doubts about the sustainability.
Good news fully priced in often turns into bad news.
Once this news came out, I believe many will chase the rise, thinking the storage sector is about to collectively take off.
But this is exactly the scenario that market makers love to see.
Retail investors rush in to take the baton, allowing them to slowly.