SanDisk short positions are down 240 points! Don't panic—let me break down what's really happening and what to do next.

First, let's calmly dissect what's unfolding right now—the storage chip market is no longer playing by the old rules. AI has completely rewritten the playbook.

Let's start with the news side: The bulls are still raging, with no sign of stopping.
Micron's earnings beat expectations, directly lifting the entire storage sector. SanDisk surged nearly 22% in a single day, hitting $2,310 intraday. Citi has already raised its target price for SanDisk to $2,500, citing a single reason: NAND supply won't ease until after 2027. Apple is raising prices, Microsoft is struggling too—pricing power in storage chips is no longer in buyers' hands. Shorting against this backdrop will only bring increasing pressure.

Now the technical side: The short-term rally is indeed overdone, but the broader trend hasn't turned bearish yet.

Looking at the 1-hour chart, SanDisk's price is riding the upper Bollinger Band, and the RSI has entered overbought territory. This suggests a short-term pullback or consolidation is possible. But remember, it's just a "pullback," not a "reversal."

What are smart money doing? Institutions are piling in, while shorts are stubbornly holding on.

After hours on Thursday, SanDisk surged over 20%, with trading volume hitting $33.4 billion. This clearly signals large institutions sweeping up shares. The counterparty you're facing now is not retail traders going it alone—it's buyers with so much capital they can crush you. A 240-point loss on a short position—if your position is heavy, who wouldn't be worried? That's normal, but after the worry, you need to stay clear-headed.

Jinyao's take: Face reality—don't expect to get rich overnight from a single trade.

Short-term overbought conditions mean a pullback is likely, but don't pray for a deep crash to get out of your position. If you want a sharp drop, ask yourself first if Citi's $2,500 target will allow it. Be realistic—don't fantasize about getting bailed out overnight with a huge gain.

So what's the specific move? Hold stubbornly, reduce positions, or go long to hedge?

That depends on how heavy your position is and how much risk you can still take. Everyone's situation is different, so there's no one-size-fits-all answer. If you want me to break down a tailored plan for you one-on-one, come find me in the chatroom. Don't just guess on your own.

‍$SNDK #美国5月PCE通胀升至4.1%创三年新高