Tuesday, July 18, 2006

YHOO Getting Slammed

I was sorely disappointed that the Dow ended up 51 points today. At one point it looked like it had a very serious shot at slumping below 10,660, which would mean rock & roll for us.

After hours, YHOO and IBM reported their earnings. YHOO, shown on the Level 2 screen below, is getting walloped for the moment (they haven't had their conference call yet), and GOOG is falling in sympathy. Good. Maybe this will weaken things further tomorrow. (Newbies: clicking any image on this blog provides a much bigger image).

16 comments:

Anonymous said...

i dont think the new yhoo message boards are going to be good for the paid bashers.

Anonymous said...

Tim, what advice can you give to people (such as myself) who have been sitting on the sidelines throughout all this mess. I mean, you had already taken out a number of put options before the huge decline. But now, with the market seemingly "bottomed" for the time being, it seems hard to pick out specific places to go short.

You're probably making a killing on your puts right now. Congrats.

Tim Knight said...

As for what to do now - - I realize the risk is higher now. But if the market really does get slammed, we've only just begun the earliest part of the sell-off. I'll put it to you this way. Of the 60 or so positions I've got, I'm holding onto every one of them. If I didn't believe in them, I wouldn't be. So I don't think it's too late.

Anonymous said...

YIKES!! YHOO still getting a beatdown. Now down over 14% after hours.

Ouchie.

Anonymous said...

Short the hell out of UNH ! it's right near a 7 month downtrend line. The recent rally was on much lower volume than its gut-wrenching 5 month drop. And it's been pushing near this but meeting some good resistance. Talk about low risk, high reward!

Anonymous said...

Incredible. IBM was helping most stocks until YHOO reported and of course didnt do well. I think you short that whole sector especially AMZN which is still holding up pretty well in the low 30's. I think AMZN joins the likes of EBAY and YHOO in the mid 20's very soon. As for the overall markets today was interesting. Looked like we found a bottom today but after todays earnings I think the nasdaq could easily see 2025 tomorrow and if earnings from INTC, AAPL, EBAY and MOT are not good expect Nasdaq 2000 by Thursday morning. Also watch the PPI report tomorrow, if its like todays data you will see an incredible sell off.

Besides that expect .25 rate hike on august 8th WITHOUT A PAUSE. I hope those foolish investors dont count on the federal reserve pausing, if they do it will only CREATE more selling in mid august.

G2006

Anonymous said...

Does anyone see a bounce. Tim mentioned that if the dow breaks 10660 thats it, were headed lower, im predicting 10500 on the dow, but do you ever get that feeling that when everything is just so oversold that things could bounce. What are the chances of a bounce back to 11000-11250. I dont think that much.

Since I do not short that much I may just buy the DXD and SDS etfs.

I think 1150 on the s&p would be a short term bottom. Thats a 7% drop or a 14% return for SDS. Not bad.

Anonymous said...

IBM profit rises 10% as sales slip;

SALES SLIP!!!!!!!!!!!!!!!!!!


LMAO IBM SUCKS!

DreamIt Ventures said...

I'm way away from being an expert but I'm expecting a small bounce/sideways action for a day or two then more big declines. Todays end of day strength plus some modest support gives me the thought of a small/modest bounce. I closed out a few shorts today that hlooked oversold but I kept the majority of mine in play. I'd expect to re-enter them tomorrow or the next day if they don't drop big before I get the chance.

Anonymous said...

yeah ... 51 points up and lots of news stories about the markets looking good !

niko said...

In Wheatcroft's defense, I don't think he'd call himself a bull... He's more of a market philosopher. Goes which way the wind blows.

Just BTW, the reveling in the bearish sentiment is making me very nervous. I'd like to hear some bulls shouting "pullback!" Otherwise, I'll have a hard time believeing in this bear.

Anonymous said...

it looks like a head and shoulders on qqqq/ndx 10 min chart

need a break above 36.33 for confirmation

Anonymous said...

confirmed

Anonymous said...

Higher Core CPI figures, once again. On pace for a 3.6% annualized rate, well above the self-imposed 2% limit for the Fed.


And the markets skyrocket.

Oh, and gold goes from -2% up to +2.6% as a result.

Go figure.

Anonymous said...

Looking at the interest in put/ calls, the xau jump this morning should not have been a big surprise.....

Anonymous said...

ebay with good numbers....no wayyyyyyyyyyyyyyyyyyyyyyyyy. this market bounce is incredible....long qid