I hope you made money with the $DJIA hitting new all time highs yesterday. I felt like I was getting zombie head spiked through the forehead. It’s amazing to see the amount of stocks that are taking 10% nosedives. Yes some are ripping 10% higher, but I didn’t have any yesterday. Momentum names, especially in the biotech sector, passed go and went straight to the wood chipper. See $YELP, $YY and others of their ilk.
As you see below the Biotech ETF ($IBB) hit resistance on October 28 (completing a bear wedge). The wedge snapped lower last Wednesday and broke down from a bear flag yesterday as it violated the 50 day moving average. IBB may need to go down to retest the OCT 9 low around 190. Stocks like $AEGR, $SRPT , $ACAD and others are getting beaten like baby seals.
$ANF missed on same store sales and the stock was punished. $AEO guided higher after the market closed and is now smacking the shorts. I was long and got lucky.
Europe just lowered rates to record lows, so European stocks are rocking and so are we. The euro dropped a quick 1%. Draghi evidently didn’t get a Twitter ($TWTR) allocation and wanted to steal some thunder.
All the nerds show up at the NYSE today for Twitter. Try and count how many sentences start with “so” and end in “right” today when they are interviewed. I call it “valley hipster” lingo. Mark Twain would be like WTF???
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