The Squeeze Worked… The Chase Is The Risk

Too much, too fast?

The tone is shifting, but more out of pressure than conviction. The pain trade has been higher recently, and after the squeeze, flows are increasingly being pulled into chasing that move.

Positioning has flipped quickly, vols have reset, and what started as forced buying is now feeding into more upside participation. Yesterday’s surge in institutional call buying likely reflects that dynamic, players being dragged back in rather than stepping in early.