After two days of not shorting Hynix ADR, I finally got the chance early this morning. Over the past two days, I noticed both SK and ADR were rising, but the rebound felt really weak. Plus, I’ve been keeping an eye on Korean stock data and found that leverage is still quite high, and overseas funds aren’t aggressively bottom-fishing. Most importantly, leverage in the U.S. semiconductor sector is also very high, and U.S. retail investors are starting to bail. So, early this morning, I noticed that although SK was up during the day, ADR was consistently dropping at night. This is the first time I’ve seen this kind of situation. Either ADR is killing off high premiums, or semiconductors are being dumped by users. If it’s the former, shorting might carry some risk, but if it’s the latter, shorting is almost a sure bet. At the time, my plan was to open a short position at $150 and add another short at $155. This way, if SK rises during the day and ADR follows suit, I could gamble on whether ADR would continue killing premiums at night. But if retail investors are dumping, then SK would likely drop during the day, and ADR would probably follow suit. Well, you already know how that turned out. I woke up around 8 a.m. and saw SK had already dropped more than 5%, so I didn’t bother and went back to sleep. Currently, my stop-loss (or take-profit) is set at $147 to guard against any sudden rebound in the afternoon or evening. @Gate Crypto, U.S. stocks, Hong Kong stocks, Korean stocks, gold, CFD, prediction markets—all-in-one trading platform