In a market governed by unspoken rules, a parabolic short is a dirty move.
When you are hiding behind the charts and the screens, all moves seem fair.
Not so much, when you know the house by the face.
A parabolic short, then, is executed to make a point. This will be played after a relation is established.
You have to protect yourself against this.
How?
Knowing this bet exists and how its played is the first step.
Second, knowing why you have to hedge against this, is important. Losing to this move will hurt your ego and more opponents will prey on your losing position. You lose this, you lose the season.
Third, as a new comer to the market, you might have to agree to play. To beat them, you can
- take Post-dated cheques and videos of the person signing the cheque
- game the narrative in your favour to hold the prices, by now, you should know how to influence the narrative
- continue opening options and keep selling more, an aggressive sales environment will create more sales
-#