Google.."What happens when a stock is added to an index". I think you'll quickly get educated on the historical pattern is almost universally bad for the stock price...(Post announcement). I would attribute the majority of FB run up in November to index inclusion speculation and now with the news out today...clearly the event is triggering a "sell the news" mentally.
But don't take my word for it...do you're research. After reading up on the historical implications of inclusion, you'll see in the short term (60 to 90) days, that stock prices retreat to where the speculation started.
If FB holds true to the historical norms...then I'll wait to buy Sub-20's after the holiday season.
Sentiment: Strong Sell
The inclusion is a minor positive over time. Do more work than your dippy article.
Asfor FB running? Big money coming into the shares on the mobility piece, and they are replacing all the retail nubs who were clobbered on this. FB will be a huge winner next year, and the funds are already on it to run above $30 near term and above $40 shortly thereafter.
Shorts need to be hedged or face the buzzsaw seen on GMCR, IPGP, BAC, ARMH, CSCO, GOOG, PCLN etc once pm incl us turned positive on the stocks.
But you should probably add to your short on all that Fred Flintstone intellect and not bother hedging. LOL
it has already pressed $28.75 this week. $30 is now a slam dunk --add another 10% when the DC tards announce they are done ruining the holiday for 99% of Americans.
Look at the idiot short gumps posts this morning. Unhedged shorts are lining up for their head furst dive under the rear axle today. As my partner loves to say: "Roadkill. Thump thump thump." LOL
Citi news lighting up the indexes as well today. Ribonacci ride continues and the bears can;t believe the marketis not dropping given the DC stupidity.
This is all part of why those of us running money are back above 75% net long again.
FB is a great place to get VERY long now. Yehah!
check out the pro trades already hitting the tape --during the premarket!
the short gumps suggest it is dumb retail, but they are about to get handed their heads. No resistance run above $30 coming right up now. all aboard!
All the index funds need to get long here in a hurry.