Look at how AMZN, LNKD, GOOG, CMG traded leading up to their earnings report when they were at previous 52 week highs. All traded up 5-10% the day leading up to earnings and tanked in after hours after they released them (besides CMG which traded up and then tanked.) Also look how they all traded up based on increased price targets and numerous articles promoting the stock. How about FB trading at $72 and getting a random price target raise to $82 only to go to $60 less than a month later. This is happening right infront of everyone's face yet somehow the retail investor falls for it everytime. They buy at $360, watch it go to $380, and begin to believe the articles they read are true and they got in at the perfect time. Next thing you know it sells off 15% in 15 minutes in after hours. You'll read the earnings report and scratch your head and say I don't understand it seems like NFLX reported decent numbers. It's bc they have a p/e stop if 150 and investors are becoming less bullish on over valued growth stocks.
-if you own NFLX sell I to this run and don't hold through earnings
- I'm long NFLX at $345 and flipping it to a short at $380 b4 the bell