John C. Burford

What another incredible week!  VIP Traders Club members have been waiting for this action for some time. In particular, the VIX index of volatility shot up to one of my long-standing targets of 40+ from a lowly 15 just three weeks ago. I had forecast a massive short squeeze weeks previously as hedge funds had amassed a record number of short positions. And in the inevitable short squeeze, this is what you get – an exponential rally as the masses of shorts start to cover.

As many of my UK readers will agree, my dam-busting metaphor for the ‘sudden’ collapse in stock markets is totally appropriate. Many of our rivers are swollen with the torrential rains and have burst their banks, flooding wide areas. And stock markets have become massively swollen, too, with charging bulls who are totally convinced shares can only go up. And one cohort of trader is back with perfect timing for a major top. Yes, the day trader is back!  Remember him/her?