On Monday, the markets started the day with such promise only to have significant gains erased in seconds late in the day. One could assign blame on the Syria related press conference or just good old-fashioned profit taking.
The froth fizzles first and fastest...
Monday, traders saw how premiums come out fastest out of the frothy tickers. Two cases in point consider. First, Tesla (NASDAQ: TSLA): The stock opened up with the markets then at about 1:00 pm E.S.T the markets started the afternoon slide.
Tesla didn't even wait to see how shallow will the pullback be. The stock sold off all the way down to 160 and closed just above that and way off the day high. Similarly, traders saw almost exactly the same price action from another frothy name Netflix (NASDAQ: NFLX). Continue reading "Don't Drink The Froth In Tesla And Netflix's Cups"