On Tuesday during the day, I mentioned that there is a high probability of a favorable CPI on Wednesday evening that would drive the market up, similar to the logic of looking at Friday's non-farm report last Thursday. I also posted about it on Twitter a day in advance and reminded that if there is another short position on Wednesday morning, the position should be half the size of the short on Tuesday. Once you gain momentum, it weakens on the second and third attempts; a decline usually does not last continuously for more than 72 hours—this is a hard rule. If you short on the third day, the position should be small. Why small? The aim is to have enough space to add positions if there is a strong pullback after breaking above. This way, there will be an opportunity to take profits around the Fed's interest rate meeting next week. Trading in the short term sometimes requires a broader perspective and the ability to gauge the situation.

In a bull market, do not chase shorts or try to short as much as possible; every time there is a drop for a day or two, I hear many people dejectedly say the bull is over, the bull has left, and they often expect prices to drop to 80k or 70k. I can't even remember how many times I have refuted that. Just yesterday on Twitter, I saw many bloggers discussing black swan events, suggesting the market could go as low as 5.19, etc. I am at a loss for words.

In the next year, buying on dips should be the main strategy; do not let shorting become your primary strategy, otherwise, a major upward wave will completely bury you. 100k is the biggest threshold recently; if it stabilizes here, there will be rises to 50k and 50k points. Even if there are adjustments in the 3-5 day line and weekly line in the future, the pullback will be about 38% of the rise. For example, on Tuesday I posted about SOL. Since the 11.5 US elections, SOL has risen a total of 112 points (152-264), and as of now, it has pulled back from 264 to 198, a drop of 66 points. 66/112=58.9%. This is close to a 0.618 pullback (112*0.618=69 points), so it is not advisable to short below 210; it is considered a low short-term position. Therefore, I reminded several times on Monday and Tuesday not to short SOL below 210, and by Wednesday at the latest, a strong pullback is expected.