Tech stocks were extremely weak. Across the board, investors were dumping tech shares. Internets were among the weakest. GOOG has fallen almost $80 in just 4 trading days, while PCLN tumbled about $120 during the same time frame. YELP has been on a continuous slide since breaking $100; it ended just above $77 today. FB pulled back from $72 to now $60.
Chinese internets have also been falling. SFUN, SINA, SOHU, and BIDU all have been falling for more than 2 weeks now. Other China-related stocks such as WYNN and LVS also fell from their recent heights. We locked in on some nice gains on WYNN puts today:
- 09:38 | Ecstatic Plays WYNN ($213.00) Sold to Close 04P230 Apr 230 put, at $17.40 +149%
- 08:11 | Ecstatic Plays WYNN ($217.50) Sold to Close 04P230 Apr 230 put, at $14.00 +100%
The Dow was down 98.89 points; SPX fell 13.06 points; Nasdaq dropped 60.69 points:
FDN (internet) was down 2.41%. SOXX (semiconductors) dropped 1.11%. IGV (software) fell 1.73%. Even GLD (gold) and SLV (silver) were down!
SPX fell 13.06 points to close at 1852.56. It closed just below its 30-day MA.
Nasdaq tumbled 60.69 points to close at 4173.58. It fell below its daily MAs. The MACD dropped sharply.
Both SPX and Nasdaq closed below their respective daily MAs. The sentiment on the market has turned more and more bearish. I think the sharp drop in the biotechs last week was a good clue that fund managers were looking to sell. I had also mentioned last week that stocks needed to pull back before the new earnings season. Buyers tried to buy the dips, but, got burned today. Things are still going pretty much along what we discussed in my Market Forecast this weekend. So, let's just be patient. Downside trades have been working!
Good night and HappyTrading! ™