What happened to "buy the dip?" - I just placed a 6 figure buy on a stock reporting next week and what happened to $SMCI?
Here's an analysis of what has been happening and where this market is clearly going.
I’ve been saying “Buy the Dip” for the past week so it’s important to go in to detail about what that means, how the market outlook can impact any trade you do right now and where we stand. I want to point out that all 5 days this week the market started out positive and then wound up selling off through the day and all 5 days ending red. Add to that the last hour of the stock market wound up being aggressive selling on Friday. You had NFLX beat EPS by 16% and the market took it down based on forward metrics (an over reaction IMO). Then you have AXP beat EPS by 12% and the stock goes up by 5% continuing a huge ongoing rally. Both of these stocks were up in to earnings and it just indicates that stocks aren’t acting the same on news. That’s a tough market to trade in so it’s important to understand what’s happening in the short term and long term. Nobody knows the market movements for sure, but looking at the past is a clear sign of what might happen.
Analysis of SPY vs. RSP and QQQ
Keep reading with a 7-day free trial
Subscribe to DailyStockPick’s Newsletter to keep reading this post and get 7 days of free access to the full post archives.