Poor participation and breadth has kept a lot of sentiment in check
Overall order flow was mixed on Wednesday, likely leaned net bearish on the day. Hedge funds and momentum players continue to chase $Apple(AAPL.US$ higher for some exposure ahead of earnings. Institutional put sweepers were a bit more aggressive than we've been seeing in selective names but it is hard to put much weight on the put action during a monthly expiration week and the start of earnings season.
Similar to market breadth, the flow has been pretty lousy this week but was expected with all the noise.
On the sentiment front
Intraday sentiment finished around neutral. Short-term sentiment finished little changed on the day. Poor participation and breadth have kept a lot of sentiment in check with the S&P 500 at new highs, and there are certainly players putting on some insurance out there with all the noise coming out of the Fed.
there is a concern that hedge funds have been stepping on the gas pedal in recent days chasing tech higher, as they try to replace all of their FANG exposure, they got rid of off fears of rising rates. So a bit of an overshoot in tech is not all that shocking considering many players had little of any exposure.
We have a couple of days left in this sloppy monthly expiration week and we should see the true colors of this market next week. Expiration week is either going to be a legit excuse for this worrisome action we are seeing and buyers will be looking for bargains once the dust clears.
One thing that needs to be reminded here is Powell continues to talk a dovish game but all the activity in everything around us is screaming that the tapering process has already started.
Notable bettings toward individual names
there is a concern that hedge funds have been stepping on the gas pedal in recent days chasing tech higher, as they try to replace all of their FANG exposure, they got rid of off fears of rising rates. So a bit of an overshoot in tech is not all that shocking considering many players had little of any exposure.
We have a couple of days left in this sloppy monthly expiration week and we should see the true colors of this market next week. Expiration week is either going to be a legit excuse for this worrisome action we are seeing and buyers will be looking for bargains once the dust clears.
One thing that needs to be reminded here is Powell continues to talk a dovish game but all the activity in everything around us is screaming that the tapering process has already started.
Notable bettings toward individual names
$Yext Inc(YEXT.US$ , $Qiwi(QIWI.US$ , $Short S&P 500 Proshares(SH.US$ , $SS&C Technologies(SSNC.US$ $United Microelectronics(UMC.US$ , $Otonomy(OTIC.US$ , $Noodles & Co(NDLS.US$ , $Warrior Met Coal(HCC.US$ , $AcelRx Pharmaceuticals Inc(ACRX.US$ , $Smith Micro Software(SMSI.US$ , $Energous(WATT.US$ , $Taseko Mines(TGB.US$ , $Recon Technology(RCON.US$ , $Welbilt Inc(WBT.US$ , $EOG Resources(EOG.US$ , $AMC Networks(AMCX.US$
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Ah Lian 2021 : like this
124323 : Indeed