BIDU Update

I'm still holding BIDU $110 calls (both July and August).

It looks a little like the rounding bottom was getting to be a pretty obvious pattern, in any case, the move this morning definitely generated movement, I'd expect that movement to be used to trap bears, we'll see how the charts continue to develop, but it seems pretty clear that there's been an plan for BIDU. On the other hand, BIDU is my top performing core short position in the equity only model portfolio at a 30% gain, with the hedges (longs) working out very well.

 The rounding bottom as pointed out yesterday, both price and volume gave the impression of a bottom forming, a shake up to the downside created a lot of movement as you can see in volume.

 This  high volume move with a bullish candlestick formation (Doji-hammer, a,most a Doji Harami) is typically a good reversal signal (this tends to occur on all timeframes, as long as there's a bullish candlestick and heavy volume).

 BIDU longer term 15 min chart in leading positive position.

 1 min chart with a relative positive divergence at today's lows.

 2 min chart hasn't moved much and remains in a leading positive position

3 min chart remains in a leading positive position, I'll continue to hold being I was expecting a short term move down in the market in general, thus the UVXY position yesterday.