Not Even Nvidia Could Prevent The Plunge – Time To Prune
As highly anticipated as Nvidia’s earnings were and the huge reaction, Thursday was an even more consequential day in the stock market. First, as I wrote about on Wednesday, I fully expected Nvidia to blow out earnings and the stock to soar above $1000 in the after hours trading on Wednesday. I don’t think there was any great stretch there or new revelation. The biggest test would be after the open to see what the stock did. For a while […]
Read More
Date: May 24, 2024
Nvidia – Poised To Hit $1000+ After Hours
Given that Nvidia has become THE most important stock on earth, I expect the media to be completely obsessed about it all day as the company reports Q1 earnings after the closing bell today. It is now one of the most over-owned stocks on earth, present company included, with very few detractors except for those based on valuation and price. I have written about pruning the stock a number of times, most recently in March, as it looked like a […]
Read More
Date: May 22, 2024
Low Volatility Is Bullish – Ignore The Lazy
This past Friday was your typical options expiration which used to be a somewhat important affair. Over the years, it has almost become a non-event with all the more frequent options being traded weekly and now daily. A tried and true trend about strength into last Friday and weakness the following week kicks off today. I don’t think it’s anything big to the downside, just maybe a modest pullback. As I thought about that old study I just mentioned, I […]
Read More
Date: May 20, 2024
Dotcom Bubble Again?
On Wednesday I wrote about the meme stocks being back in Vogue with epic volume. I know. I know. Why should we care about a few stocks that trade like Dotcom stocks from yesteryear? In a vacuum it doesn’t really matter. However, we don’t live nor invest in a vacuum. Meme stocks like Gamestop, AMC and Blackberry are indicators of overall market sentiment. All three companies have poor fundamentals which is why many professional investors have positioned against those stocks, […]
Read More
Date: May 17, 2024
All-Time Highs Are Here Again – Meme Shorts Get Punched
It seems like a lot has happened this week and it’s only Wednesday morning. On Tuesday and Wednesday we got inflation reports from the producers as well as the consumers. One was warmer than expected while the other was a touch cooler. Still, although April looked a tiny bit better, year over year inflation remained well above 3% and nowhere near the Fed’s 2% target. Recall that I have been saying that 3% is the new 2% and until we […]
Read More
Date: May 15, 2024
Stocks Overbought
I hope everyone had a nice Mother’s Day. With the kids home, my mom back from the Sunshine State and my in-laws just down the street, it was great to have everyone over and also celebrate my brother’s double nickel (55) birthday a few days early. I had my first hands on experience with AI as I listed a brand new Taylor Made driver for sale on eBay. After I entered all the specs, it asked me if I wanted […]
Read More
Date: May 13, 2024
The Youts! What’s a Yout? – AI & The Utes
The bulls have had quite a run, haven’t they? My thesis for a Q1 peak came to fruition. My thesis for a Q2 low came to fruition. I think my thesis for all-time highs in Q3 will come to fruition, but that may be happily earlier than I expected as the Dow Industrials, S&P 500 and NASDAQ 100 are just one big day away. Longtime readers know I hate to follow the masses as they are usually but not always […]
Read More
Date: May 10, 2024
Do The Homework – Selling In May Is For The Lazy
Before May gets away from us I wanted to comment on the media’s obsession with the “Sell in May and Go Away” calendar investing advice that makes its round annually. First, like many of these, they were data mined and really only worked until they were discovered and published. Second, selling in May works sometimes, in some years. Other times, June is a better month. In election years with the incumbent running, it doesn’t work at all. Overall since 1950, […]
Read More
Date: May 8, 2024
Goldilocks Is In The House – And The Banks Are Loving It
Boy is it great to be home! Three trips piled into one long 8 days on the road. Nothing better than walking off the plane at midnight and being greeted by this sign in Hartford. A new week begins after last week ended with a bang. If Apple’s earnings and epic share buyback weren’t enough, the jobs report on Friday gave a Goldilocks gift of not too hot and not too cold. 175,000 new jobs were created versus the 240,000 […]
Read More
Date: May 6, 2024
Individual Investors Just Don’t Like Feeding The Ducks
What a crazy volatile Fed afternoon on Wednesday. Massive rally and then huge decline as you can see below. My comment about buying weakness and selling strength was valid. On Thursday, markets were strongly higher and I heard pundits crying about today’s employment report being leaked. Those conspiracy theorists never cease to amaze me. When the president and Fed chair get caught off guard by an economic report two days hence, you know that any talk about leaks is nonsense. […]
Read More
Date: May 3, 2024
