Indices closed down.
S&P 500 @ 2097.94, low 2094.00, high 2111.76
RSI @ 31.59
CMF @ -0.190
Internals were :
Down volume led by 4.19 to 1 in NYSE & 2.38 to 1 in Nasdaq
Declining stocks led by 3.22 to 1 in NYSE & 2.82 to 1 in Nasdaq
Net new 52 wk lows were leading by 87 in NYSE & 153 in Nasdaq
VIX UP 4.09% @ 19.32
Oil @ $45.34
Gold @ $1308.20
AH ER...FB Down 7.05%, FIT Down 29.66%
AH Futures Mixed
AH Asian Markets Mixed
AH Oil & Gold UP
About market, TAPE has been deeply oversold, based on all normal metrics, but, this is election fear gripping this TAPE. RSI is telling us many stocks are screaming buy, as they all have broken down technically. IF you have very good understanding of certain quality stocks, then it may be the time to buy or hold it, till sentiment change. Sentiment may turn into euphoria on November 9th. Markets on occasion, does not make sense, but, this is what we get in unpredictable election. Patience and conviction gets tested in these situation. Do not lose hope.
BLOG does NOT give buy or sell.
Saleem
8 comments:
Hi Stocktrader,
TRIL is down today. Do you know why it is down so much?
Thank you
Joseph
Hi Joseph,
Data released today showed safety concerns at higher doses. It seems very far overdone especially as the safety problems could indicate high efficacy, but the bullishness in the stock/company was very high also. I'm interested to see where it stabilizes. Today's action is disastrous so far--I've had to remind myself to breathe quite often this morning.
Stocktrader
Hi Stocktrader,
I know it is hard to see the stock go down so much. Yesterday the stock was up so much. Is it good to add the stock at this price? Thanks for sharing your thoughts.
joseph
Hi Joseph,
I think this is very overdone. There were buyers at $13-$14 right after open, so it's not like people immediately interpreted the new data as poor enough to gap it down. It became a waterfall selling event where margin calls, both long term and intraday ruled. From a valuation perspective, $80M market cap (and even lower EV) seems ridiculously low.
Stocktrader
Hi Stocktrader,
Thanks for sharing your thoughts. I am just watching the price movement. I will buy it when it settles even if it goes up a bit higher to average it down.
Thanks so much.
Joseph
Hi Joseph and all,
Was just reviewing the cash on the balance sheet--C$60M as of last reported quarter. Although they are spending on trials currently, it makes the current market cap of roughly $80M seem ridiculous given their prospects, progress, and intellectual property.
Guess I'll continue to hold and watch. I would love to add but it's even still ~8% of the portfolio and I'd have to reduce diversification to buy more, although I can't help but considering that.
Stocktrader
Hi Saleem,
Trimmed SPLK @ 58.34
Given the volatility in technology stocks post-earnings and fears of lengthening sales cycles coupled with SPLK's high valuation, I thought it might be wise to trim for now.
Added to TRIL @ 7.60
I had to take advantage of the dip in some way.
Portfolio: TRIL QRVO WLH LYB FDX, ZYNE ACIA SPLK DKS, AKS, CNAT, 0.0% cash
Stocktrader
Hi Stocktrader,
Good luck with more TRIL.
Saleem
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