As discussed in my Market Forecast this Sunday, the markets pushed higher. We also talked about the strength in tech stocks, which continued to help the broader market. AMZN, in just 6 trading sessions, jumped from $185 to almost hitting $210 intraday today, before sliding down to close at $205.44. AAPL made, yet, another new all-time high at $616.28. ISRG also recorded a new all-time high at $550.47. BIDU, in 5 sessions, went from $137 to an intraday high of $154.15 today! PCLN ran from $650 to yesterday's high of $736.92 in about 2 weeks (that's an $87 rise)!
We logged in some quick trades on weekly calls today: a overnight +54% gain on LNKD and a $42% profit on CF:
- 08:08 | HappyTrading LNKD ($104.90) Sold to Close 0330C185 Mar 185 calls, at $5.40 +54%
- 07:01 | HappyTrading CF ($191.00) Sold to Close 0330C185 Mar 185 calls, at $6.68 +42%
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Energy and mining stocks were still on the weak side. Just before the quick fall in the last hour, I mentioned that the market was looking toppy:
March 27, 2012 12:18 PM
Within minutes of that comment, the selling sped up. Major indices all closed in the red, after spending most of the day in the green or around the flatline. The Dow was down 43.9 points; SPX slid 3.99 points; Nasdaq slipped 2.22 points:
OIH (oil services) was down 2.58%. GDX (gold miners) fell 1.42%. XLE (energy) dropped 1%. XLF (financials) was off 0.92%.
SPX slid 3.99 points to close at 1412.52. The daily MAs were little changed and the MACD flattened.
Nasdaq slipped 2.22 points to close at 3120.35. Its daily MAs and MACD were slightly up.
So, after Monday's huge rally, the market took a breather. VIX managed to close at 15. The stall was not surprising today. After all, the rally yesterday was very strong. Things are a bit toppy here. We may need to see some more consolidation. Again, SPX has support at 1400. But, if SPX does get a quick pullback to 1400, we'll likely see dip-buyers come in again.
Good night and HappyTrading! ™
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