But the short squeezes can be vicious, and they can go on for so long that many get convinced the market is heading up again and jump on at just the wrong moment. So beware the bull traps.
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What does ‘up’ mean? When have prices changed direction? What is an uptrend? When is the trend over?
There were five Aussie tech stocks that I noticed had been treading water while most other tech stocks were selling off. Four out of the five stocks are up between 10 and 30% in three weeks...