Weekend August 29 2020
More and ,ore temporary lay offs are becoming permanent.
NDX on a tear
Are we finally done here? Parabolic rise, five waved on fractal and major basis, and Apple is worth $2 Trillion
TESLA - from the weeken
d WASJ
Tesla will have a five for one stock split Monday. Investors received four additional shares for each one held. Since August 11 when TSLA announced the split the shares have advanced 61% shares have gone up 5x so far this year.
You might think some would take profits. but no! The ratio of puts, down to calls, up hit a record low August 21. Chris Murphy co head of derivative strategy at Susquehanna remarks "It's a combination of euphoria, greed, and a little bit of FOMO, fear of missing out.
IF it were in the S & P 500 it would be the 8th most valuable company above Johnson and Johnson and Wal mart.
This is tulip mania circa 1636 all over again.
The idea that one would buy call options after a rise of this magnitude is classic top of the market thinking. Keynes remarked that
Markets can remain irrational longer than you can remain solvent betting against them. That is the case here. This is similar to $145 oil in 2008, the market reversed that summer falling to $35 by Christmas.
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