Sent from my Verizon Wireless BlackBerry
From: StockTwits <admin@stocktwits.com>
Date: Tue, 27 May 2014 14:56:33 +0000 (UTC)
To: <mainandwall@yahoo.com>
ReplyTo: admin@stocktwits.com
Subject: This Week on StockTwits: SalesForce Earnings; 30-Year Breakout in AT&T? GoGo on the Go
Email not displaying correctly? View it in your browser |
|
Much of the debate heading into the official beginning of summer trading is about the low levels in the $VIX, the so-called fear gauge that measures the implied volitilies of options on the S&P 500. A low VIX implies complaceny as it typically indicates people are buying fewer -- or paying less -- for put options to protect their portfolios.
It's back to levels that presaged past dislcoations in the markets. It's quiet, too quiet...so something bad must be getting ready to happen, as the theory goes. The problem is that you can lose a lot of money waiting for this bad thing to happen. The VIX can stay low for a really long time.
In this new world, I'd prefer to look at trends in StockTwits sentiment data on the major indices to see how close we are to a pullback. Bullish sentiment is steadily rising for the $SPY, $QQQ and the $IWM. And it's not by any means overenthusiastic. For example, there are still more bears on the $SPY than bulls.
So while Putin, China and rising debt costs in Europe are reasonable reasons to worry, are they really reasons to sell right here when strong economic data is becoming the norm and the Yellen Fed seems to be achieving a slow QE backstep without shooting rates higher? Our users apparently are voting no and saying stay the course.
Just like everything on Wall Street, no metric has a perfect track record in signaling a top or bottom. It all soon gets too popular and hedged away. It seems it may be time to retire the VIX now too.
Happy Summer Trading,
@stocktwitsjohn.
CEO, StockTwits
|
|
| Day | Time | Ticker | | Tuesday | Before Market Open | $AZO | | Tuesday | After Market Close | $WDAY | | Wednesday | Before Market Open | $KORS | | Wednesday | Before Market Open | $DSW | | Wednesday | Before Market Open | $SDRL | | Wednesday | Before Market Open | $BMO | | Wednesday | After Market Close | $PANW | | Thursday | Before Market Open | $COST | | Thursday | Before Market Open | $ANF | | Thursday | After Market Close | $LGF | | Thursday | After Market Close | $SPLK | | Thursday | After Market Close | $OVTI | | Thursday | After Market Close | $EXPR | | Thursday | After Market Close | $GES | | Thursday | After Market Close | $AVGO | | Friday | Before Market Open | $BIG | |
|
Economic Events This Week |
|
| Day | Time | Event | | Monday | US Holiday | Memorial Day | | Tuesday | 8:30am ET | Durable Goods | | Tuesday | 9:00am ET | S&P Case-Shiller HPI | | Wednesday | 7:00am ET | MBA Purchase Applications | | Thursday | 8:30am ET | Weekly Jobless Claims | | Thursday | 8:30am ET | GDP | | Friday | 8:30am ET | Personal Income and Outlays | |
|
@Wincreaseteam points out that $GOOG has put in a classic inverse head and shoulders pattern and breaking the neckline higher. Stock is now through its 50-day moving average and on its way back to 52-week highs above $600. | |
|
| Facebook (FB)
As its social network sister Twitter seems to continue to struggle, it seems more and more of the money in the space is going into Facebook. The stock is now back up by 14 percent on the year after a 2-month swoon. Now 93% of the messages on StockTwits are bullish, especially following earnings that showed maybe the 'WhatsApp' buy wasn't so crazy as this company becomes the first truly global and mobile player. What's more, optionMonster points out that a massive bullish call spread crossed the tape on Friday in the name for $1.5 million. That trade by a heavy hitter was the single biggest transaction in the option market that day. |
|
New and Noteworthy Follows |
|
| Darcy Keith (@EyeOnEquities)
Darcy Keith is an editor with Canada's Globe and Mail and has followed financial markets for 20 years. He was previously Yahoo Canada's senior finance editor, Canwest's national biz editor, and a correspondent for Knight-Ridder Financial News. |
|
| AnneMarie Baiynd (@annemarietrades)
AnneMarie is an author, financial analyst, and technical analyst. She has published several books about trading and studied applied mathematics. |
|
| Nancy Miller (@NanceFinance)
I'm the author of The Facebook IPO Primer, a tell-all ebook on investing. I write for old and new media outlets like Barron's, time.com, The Fiscal Times, and more; I have loved them all. |
|
To unsubscribe please click here | StockTwits
1307 Ynez Place, Coronado, CA, 92118 |
|
|
|
|
|
No comments:
Post a Comment