Tim Knight Breaks Down His Biggest Short on the Dow

Tim Knight of Slope of Hope walks through a single trade idea he cares a lot about: shorting the Dow through the DIA diamonds ETF, his biggest position. He starts with a Dow chart going all the way back to 1900, laying his exponential moving averages over a century of history, and argues the current setup rhymes with past tops, right down to the shooting star that marked the recent lifetime high. Along the way he tells the story of the roaring twenties, when RCA was the Nvidia of its day, and the crash that followed. He explains why he shorted, covered, and re-entered the diamonds this week, and the level that would tell him the move is over. Views are the speakers' own. Education, not a recommendation. 📊 tastylive: https://www.tastylive.com/ 📰 Get Tom's pre-market analysis every morning: https://www.tastylive.com/newsletters 📘 FREE Options Strategy Guide: https://tinyurl.com/bp9ms763 📱 Follow tastylive on X: https://x.com/tastyliveshow Chapters 00:00 The trade idea, shorting the diamonds 00:13 A Dow chart back to 1900 00:41 The roaring twenties and the crash 01:04 A century long ascending channel 01:22 Why today rhymes with past tops 02:23 Shorting, covering, and re-entering 02:48 Inside the diamonds ETF chart 04:00 The level that ends the trade #tastylive #dowjones #diaetf #timknight #slopeofhope #shortselling #stockmarket #1929 #bearish #optionstrading tastylive is a real financial network, producing hours of live programming every day. Follow along as our experts navigate the markets, provide actionable trading insights, and teach you how to trade. With over 120 original segments, and over 25 personalities, we'll help you take your trading to the next level, whether you are new to trading or a seasoned veteran. tastylive content is created, produced, and provided solely by tastylive, Inc. ("tastylive") and is for informational and educational purposes only. It is not, nor is it intended to be, trading or investment advice or a recommendation that any security, futures contract, digital asset, other product, transaction, or investment strategy is suitable for any person. Trading securities, futures products, and digital assets involve risk and may result in a loss greater than the original amount invested. Investment information provided may not be appropriate for all investors and is provided without respect to individual investor financial sophistication, financial situation, investing time horizon or risk tolerance. Options, futures, and futures options are not suitable for all investors. Prior to trading securities, options, futures, or futures options, please read all applicable risk disclosures, including, but not limited to, the Characteristics and Risks of Standardized Options Disclosure and the Futures and Exchange Traded Options Risk Disclosure Statement found at https://tastytrade.com/disclosures/. Past performance is not indicative of future results. Performance is not presented net of all commissions, fees, and expenses. Multi-leg option strategies incur higher transaction costs than single leg trades as they involve multiple commission charges. Examples provided are for illustrative, informational, and educational purposes only and are not intended to be reflective of results you can expect to achieve. Supporting documentation for any claims, including claims made on behalf of options programs), comparisons, statistics, or other technical data, if applicable, will be supplied upon request. tastylive, through its content, financial programming or otherwise, does not provide investment or financial advice or make investment recommendations. tastylive is not a licensed financial adviser, registered investment adviser, or a registered broker-dealer.