April 14, 2007
Stock Du Jour (DYAX) & Random Observations
Nowhere day until after 2 PM when a huge burst of buying hit the market. 15 Ideas member Merck (MRK) was the most active stock moving to a new high. Aren’t you glad you made a donation? Big Pharma (PPH) and Healthcare (XLV) ETFs moved to new highs. QID again more active than QQQQ — you’ve come a long way since I first wrote about you, baby. Gold (GLD) darn near to making a new high, which makes sense.
Related:
Cat: | Time: 9:20 am (utc+8)
April 14th, 2007 at 12:47 pm
Yes, ‘we’ are happy about MRK, and MCD which is doing quite nicely too. Thanks.
DYAX was indeed a top candidate but by about 10:30 it was relatively clear it was going to crap out.
April 14th, 2007 at 12:54 pm
Eyal: The broad market tone wasn’t “constructive” in the morning either, so that was another reason not to get too hot and bothered by old DYAX.
April 14th, 2007 at 1:05 pm
I thought the tone was mixed and dull but not awfully too negative. But my tone reading skills are very hit and miss. Or more like: very miss and sometimes hit :-)
April 14th, 2007 at 1:40 pm
Eyal: Mixed and dull is a good description until the middle of the afternoon when buying kicked in big time.
April 16th, 2007 at 7:34 am
When you guys talk about market tone and big buying, what are you watching that gives you those indications? Also, big buying must be met by big selling, yes? How do you determine which is which ? Bear with my ignorance please :)
April 16th, 2007 at 12:12 pm
Prospectus: I look at the usual stuff to judge the tone: TRIN, TICK, VIX, the price action in the main indexes (I watch the ETFs: SPY, QQQQ, IWM, etc.), and other stuff.
You can judge big buying because price goes UP and big selling because price goes DOWN. It’s true that there’s a buyer for every seller and vice versa but there’s the little matter of price in there too. ;-)