Public trading strategy
A short squeeze is mechanical buying: traders who bet against the price are forc
Created
Thesis
A short squeeze is mechanical buying: traders who bet against the price are forced to buy back, and that buying pushes the price higher regardless of the news. With $427 million of shorts liquidated in a single day, the downward pressure that had been capping crypto just got flushed out. Rebounds driven by forced buying tend to continue because the remaining shorts either cover or get squeezed too. Trading the squeeze directly captures momentum that pure macro-based shorting misses.
Strategy approach
A short squeeze is mechanical buying: traders who bet against the price are forced to buy back, and that buying pushes the price higher regardless of the news. With $427 million of shorts liquidated in a single day, the downward pressure that had been capping crypto just got flushed out. Rebounds driven by forced buying tend to continue because the remaining shorts either cover or get squeezed too. Trading the squeeze directly captures momentum that pure macro-based shorting misses. Decision analysis profile: value. Required dimensions: valuation_method, valuation_sensitivity, business_economics, cash_quality, balance_sheet_leverage, dilution_capital_allocation, moat, catalysts, counterevidence, invalidation.
Markets and timeframes
Latest published rule evaluation
Evaluated . This is a dated rule snapshot, not a live price or trade execution confirmation.
BITX · 1d
0 of 2 published entry conditions marked met.
- Price above EMA (10) — near
- RSI (14) above 55 — far
- Price below EMA (10) — met
BTC · 1d
0 of 2 published entry conditions marked met.
- Price above EMA (10) — near
- RSI (14) above 55 — far
- Price below EMA (10) — met
ETH · 1d
2 of 2 published entry conditions marked met.
- Price above EMA (10) — met
- RSI (14) above 55 — met
- Price below EMA (10) — near
Entry and exit at a glance
These are the named rules in the shared configuration. Review the full conditions below before using a strategy.
- Entry: Squeeze Ignition Breakout Long (BTC@1d) (3 conditions)
- Entry: Squeeze Ignition Breakout Long (ETH@1d) (3 conditions)
- Entry: Squeeze Ignition Breakout Long (BITX@1d) (3 conditions)
- Exit: Invalidation: Close Below Confirmation Level (BTC@1d) (1 condition)
- Exit: Invalidation: Close Below Confirmation Level (ETH@1d) (1 condition)
- Exit: Invalidation: Close Below Confirmation Level (BITX@1d) (1 condition)
- Exit: TP: Near Resistance[1] (BTC@1d) (1 condition)
- Exit: TP: Near Resistance[1] (ETH@1d) (1 condition)
- Exit: TP: Near Resistance[1] (BITX@1d) (1 condition)
- Exit: Stop Loss at 5.0% (1 condition)
- Exit: Take Profit at 5.1% (1 condition)
- Exit: Time Stop at 10 Days (1 condition)
Shared strategy rules
Rule configuration
{
"data_dependencies": [
{
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
{
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
{
"symbol": "STOCK:BITX",
"timeframe": "1d"
}
],
"entry_rules": [
{
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "crossed_above",
"right": {
"rank": 1,
"type": "resistance_level"
}
},
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"indicator": {
"name": "rsi",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 55
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_btc",
"name": "Squeeze Ignition Breakout Long (BTC@1d)",
"priority": 1,
"trade_symbol": "CRYPTO:BTC"
},
{
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "crossed_above",
"right": {
"rank": 1,
"type": "resistance_level"
}
},
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"indicator": {
"name": "rsi",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 55
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_eth",
"name": "Squeeze Ignition Breakout Long (ETH@1d)",
"priority": 2,
"trade_symbol": "CRYPTO:ETH"
},
{
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "crossed_above",
"right": {
"rank": 1,
"type": "resistance_level"
}
},
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"indicator": {
"name": "rsi",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 55
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_bitx",
"name": "Squeeze Ignition Breakout Long (BITX@1d)",
"priority": 3,
"trade_symbol": "STOCK:BITX"
}
],
"exit_rules": [
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "less_than",
"right": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
}
],
"enabled": true,
"id": "exit_invalid_btc",
"name": "Invalidation: Close Below Confirmation Level (BTC@1d)",
"priority": 1,
"purpose": "signal",
"target_symbol": "CRYPTO:BTC"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "less_than",
"right": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
}
],
"enabled": true,
"id": "exit_invalid_eth",
"name": "Invalidation: Close Below Confirmation Level (ETH@1d)",
"priority": 2,
"purpose": "signal",
"target_symbol": "CRYPTO:ETH"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "less_than",
"right": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
}
],
"enabled": true,
"id": "exit_invalid_bitx",
"name": "Invalidation: Close Below Confirmation Level (BITX@1d)",
"priority": 3,
"purpose": "signal",
"target_symbol": "STOCK:BITX"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than_or_equal",
"right": {
"rank": 1,
"type": "resistance_level"
}
}
],
"enabled": true,
"id": "exit_2_btc",
"name": "TP: Near Resistance[1] (BTC@1d)",
"priority": 97,
"purpose": "take_profit",
"target_symbol": "CRYPTO:BTC"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than_or_equal",
"right": {
"rank": 1,
"type": "resistance_level"
}
}
],
"enabled": true,
"id": "exit_2_eth",
"name": "TP: Near Resistance[1] (ETH@1d)",
"priority": 98,
"purpose": "take_profit",
"target_symbol": "CRYPTO:ETH"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than_or_equal",
"right": {
"rank": 1,
"type": "resistance_level"
}
}
],
"enabled": true,
"id": "exit_2_bitx",
"name": "TP: Near Resistance[1] (BITX@1d)",
"priority": 99,
"purpose": "take_profit",
"target_symbol": "STOCK:BITX"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than_or_equal",
"right": {
"type": "constant",
"value": -5
}
}
],
"enabled": true,
"id": "exit_4",
"name": "Stop Loss at 5.0%",
"priority": 100,
"purpose": "stop_loss"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than_or_equal",
"right": {
"type": "constant",
"value": 5.1
}
}
],
"enabled": true,
"id": "exit_5",
"name": "Take Profit at 5.1%",
"priority": 100,
"purpose": "take_profit"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "holding_period_bars",
"type": "position"
},
"operator": "greater_than_or_equal",
"right": {
"type": "constant",
"value": 10
}
}
],
"enabled": true,
"id": "exit_time",
"name": "Time Stop at 10 Days",
"priority": 101,
"purpose": "signal"
}
],
"position_sizing": {
"max_position_percent": 25,
"method": {
"risk_percent": 2.5401666666666665,
"support_stop_rank": 2,
"type": "fixed_risk"
},
"min_position_value": 100
},
"trigger_timeframe": "1d",
"version": 2
}Indicator configuration
{
"indicators": [
{
"name": "ema",
"period": 10
},
{
"fast": 12,
"name": "macd",
"signal": 9,
"slow": 26
},
{
"name": "rsi",
"period": 14
},
{
"name": "ema",
"period": 10
},
{
"fast": 12,
"name": "macd",
"signal": 9,
"slow": 26
},
{
"name": "rsi",
"period": 14
},
{
"name": "ema",
"period": 10
},
{
"fast": 12,
"name": "macd",
"signal": 9,
"slow": 26
},
{
"name": "rsi",
"period": 14
}
]
}Parsed strategy
{
"data_dependencies": [
{
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
{
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
{
"symbol": "STOCK:BITX",
"timeframe": "1d"
}
],
"entry_rules": [
{
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "crossed_above",
"right": {
"rank": 1,
"type": "resistance_level"
}
},
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"indicator": {
"name": "rsi",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 55
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_btc",
"name": "Squeeze Ignition Breakout Long (BTC@1d)",
"priority": 1,
"trade_symbol": "CRYPTO:BTC"
},
{
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "crossed_above",
"right": {
"rank": 1,
"type": "resistance_level"
}
},
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"indicator": {
"name": "rsi",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 55
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_eth",
"name": "Squeeze Ignition Breakout Long (ETH@1d)",
"priority": 2,
"trade_symbol": "CRYPTO:ETH"
},
{
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "crossed_above",
"right": {
"rank": 1,
"type": "resistance_level"
}
},
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than",
"right": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
},
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"indicator": {
"name": "rsi",
"period": 14
},
"type": "indicator"
},
"operator": "greater_than",
"right": {
"type": "constant",
"value": 55
}
}
],
"direction": "long",
"enabled": true,
"id": "entry_1_bitx",
"name": "Squeeze Ignition Breakout Long (BITX@1d)",
"priority": 3,
"trade_symbol": "STOCK:BITX"
}
],
"exit_rules": [
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "less_than",
"right": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
}
],
"enabled": true,
"id": "exit_invalid_btc",
"name": "Invalidation: Close Below Confirmation Level (BTC@1d)",
"priority": 1,
"purpose": "signal",
"target_symbol": "CRYPTO:BTC"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "less_than",
"right": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
}
],
"enabled": true,
"id": "exit_invalid_eth",
"name": "Invalidation: Close Below Confirmation Level (ETH@1d)",
"priority": 2,
"purpose": "signal",
"target_symbol": "CRYPTO:ETH"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "less_than",
"right": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"indicator": {
"name": "ema",
"period": 10
},
"type": "indicator"
}
}
],
"enabled": true,
"id": "exit_invalid_bitx",
"name": "Invalidation: Close Below Confirmation Level (BITX@1d)",
"priority": 3,
"purpose": "signal",
"target_symbol": "STOCK:BITX"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:BTC",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than_or_equal",
"right": {
"rank": 1,
"type": "resistance_level"
}
}
],
"enabled": true,
"id": "exit_2_btc",
"name": "TP: Near Resistance[1] (BTC@1d)",
"priority": 97,
"purpose": "take_profit",
"target_symbol": "CRYPTO:BTC"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "CRYPTO:ETH",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than_or_equal",
"right": {
"rank": 1,
"type": "resistance_level"
}
}
],
"enabled": true,
"id": "exit_2_eth",
"name": "TP: Near Resistance[1] (ETH@1d)",
"priority": 98,
"purpose": "take_profit",
"target_symbol": "CRYPTO:ETH"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"chart_ref": {
"symbol": "STOCK:BITX",
"timeframe": "1d"
},
"field": "close",
"type": "price"
},
"operator": "greater_than_or_equal",
"right": {
"rank": 1,
"type": "resistance_level"
}
}
],
"enabled": true,
"id": "exit_2_bitx",
"name": "TP: Near Resistance[1] (BITX@1d)",
"priority": 99,
"purpose": "take_profit",
"target_symbol": "STOCK:BITX"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "less_than_or_equal",
"right": {
"type": "constant",
"value": -5
}
}
],
"enabled": true,
"id": "exit_4",
"name": "Stop Loss at 5.0%",
"priority": 100,
"purpose": "stop_loss"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "unrealized_pnl_percent",
"type": "position"
},
"operator": "greater_than_or_equal",
"right": {
"type": "constant",
"value": 5.1
}
}
],
"enabled": true,
"id": "exit_5",
"name": "Take Profit at 5.1%",
"priority": 100,
"purpose": "take_profit"
},
{
"applies_to": "both",
"conditions": [
{
"left": {
"field": "holding_period_bars",
"type": "position"
},
"operator": "greater_than_or_equal",
"right": {
"type": "constant",
"value": 10
}
}
],
"enabled": true,
"id": "exit_time",
"name": "Time Stop at 10 Days",
"priority": 101,
"purpose": "signal"
}
],
"position_sizing": {
"max_position_percent": 25,
"method": {
"risk_percent": 2.5401666666666665,
"support_stop_rank": 2,
"type": "fixed_risk"
},
"min_position_value": 100
},
"trigger_timeframe": "1d",
"version": 2
}Strategy instructions
Trading agent generated from recommendation idea 'A short squeeze is mechanical buying: traders who bet against the price are forced to buy back, and that buying pushes the price higher regardless of the news. With $427 million of shorts liquidated in a single day, the downward pressure that had been cap'. Thesis: A short squeeze is mechanical buying: traders who bet against the price are forced to buy back, and that buying pushes the price higher regardless of the news. With $427 million of shorts liquidated in a single day, the downward pressure that had been capping crypto just got flushed out. Rebounds driven by forced buying tend to continue because the remaining shorts either cover or get squeezed too. Trading the squeeze directly captures momentum that pure macro-based shorting misses.
Performance
No trade count, win rate, or realized P&L figures are provided in this public preview. The thesis and shared rules do not establish a performance record.
What this public preview can establish
- The dated rule snapshot above shows the conditions evaluated at that time. It does not prove a current trigger or executed trade.
- Technical strategy fields are shared above. Inspect the actual conditions and check when they were evaluated before relying on them.
- No trade count, win rate, or P&L figure is published in this preview. It cannot establish a performance record.
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