Today the announcement was made they will be joining the S&P small cap 600 listing, and I think this news, plus the fact that the stock is very undervalued, will begin a new uptrend for this company.
Cancel, the simple answer is politics. No one in Europe wants to be blamed for contagion, or the uncertainty around Greece leaving the ECB. They've kicked the can down the road for so many years, and it's finally come to a head. As for Lew, the US is for the US, and everyone else comes in a distant second. I think the US needs to stay out of this Europe mess, because they have their own mess at home. Short answer, it may not be too serious right now, but it can be in the near term.
Well at least most of us here. Greece is an excuse, but it appears it's a catalyst for a correction. There's a lot of technical damage on the charts now, so even a Greece resolution at some point won't matter too much.
I can't understand why my broker's news feed says "OLED on watch amid reports Apple switching to OLED displays." I thought Universal already supplies AAPL, why would the report say Universal is on watch, isn't this a positive? Thanks.
It's actually a nice change to communicate with someone who can provide substantive replies on Yahoo finance, rather than the nonsense you read on most boards. When you get a chance, let me know where you're hanging out (other stocks), and perhaps we can help each other with leads, you never know. By the way, one of the key conservative judges decided to go the other way and side with the liberals, which tipped the scale this time.
It's the sell the news reaction. If the stock were under pressure the past few weeks because of the uncertainty of whether or not the court would pass this measure, then I could see the stock rallying on the news today. But in just two weeks, the stock has moved from $26 to $34 with no correction at all. I'd be interested in buying the stock, but not after a parabolic move.
Good response. There's a big gap on both the daily and weekly charts (same gap, but unusual on the weekly). I would have expected the stock to have sold off on the Obamacare news, as they've been buying the rumor since $26 June 8.
If this stock doesn't correct very soon, I'm afraid it will come crashing down. I don't have a position, but would certainly consider one when it corrects to $31 or so.
You asked about where I got my information regarding institutions as net sellers the past few weeks:
"In a note Tuesday, Jill Carey Hall at Bank of America Merrill Lynch (BAML) wrote that the clients' net sales of US stocks amounted to $4.1 billion last week, the largest total since January 2008.
Most of the selling is being led by institutional investors. Here's Carey Hall:
After three weeks of net buying, institutional clients' net sales last week were the largest in our data history. Hedge funds were net sellers for the ninth consecutive week, while private clients bought stocks last week following the previous week's net sales. Buybacks by corporate clients were slightly lower than in the previous week, but on a four-week average basis have generally continued at a constant pace since mid-May. Net sales last week were chiefly due to large caps (biggest sales ever of this size segment), though small and mid-caps also saw outflows.
The strategists wrote that investors pulled the most money out of healthcare and financial stocks. Last week, outflows from healthcare were the largest on record, they said.
On Friday, BAML strategists noted that investors last week pulled the most from government bonds since the so-called taper tantrum of 2013.
This chart shows that the various client types have steadily pulled money out of stocks in recent months, but institutional investors lead by far.
QCOM 1999, 10-1 split, AAPL 2015, 9-1 split. More liquidity means hedge funds can go all in short. I think we'll see $80-$85 post split.
The futures traders make it seem like it's all about Greece, but it's not. The truth is institutions have been net sellers for the past few weeks, while the bagholders keep buying the dips. Greece could crash the markets, or if they have make an 11th hour deal, markets may spike briefly, and then they'll sell the news and start a real correction.
The supersedeas bond is a formality, and is common in these kind of cases. The issue here is the appeals process can be very protracted, and will probably be an overhang on the stock for awhile.
Get out now! Of course they don't say anything about how you should sell this season, but you can bet come October they'll be telling everyone "tis the season to buy stocks".