Take Profits On Shorts - No Follow Through Selling - Bid Is Growing

One Option Trading Blog http://ift.tt/2imhWaq Posted 9:30 AM ET - The market has been able to regain its footing after a dose of profit-taking last week. I still believe that the SPY will challenge the 100-day moving average, but I'm taking profits on my overnight short positions this morning. Trading against a longer-term uptrend is difficult. Short covering rallies can be violent especially in this “no news” environment. Buyers waited patiently to see if there was follow-through selling. In the absence of additional profit taking the last few days the bid has grown stronger. The selling pressure will intensify as we get closer to the September …