Member Info for hey_arnold

I wonder what caused it. Someone needed to get out of the position quickly.

That was strange price action at the start of the US open.

Its very frustrating isn't it. You would have thought they stress tested their platforms for periods of high demand.

I keep having issues, not even being able to place limit orders earlier.

Anyone here use HL to deal? Whenever there is market volatility they are rubbish. Thinking about moving. Any suggestions welcome :)

Raised PT to $30 from $17.

Wonder if that was profit taking or someone shorting the stock.... interesting. I note there are no shorts above 0.5% currently, however maybe this will change since the quick rise. Happy to stay long at the moment.

What metrics are you using to compare tour operators with airlines?

Its just profit taking, only normal. For investors this is still a good entry level.

Pretty sure the Easyjet chart looks the same as Carnival.

Interesting.... not long till we find out.

Ultimately, you are probably right the fundamentals might not reflect the price, but to me there are other things at play here, which I think are likely to continue unless we have another global lockdown.

I agree with Bsinkers, its sentiment. Also there is a lot of additional cash sloshing round the markets from stimulus measures implemented by central banks, resulting in equities turning bullish. It's a strange dynamic as the markets dont seem to reflect the economy, however I think the markets also believe that the Fed et al, will do anything necessary to support the markets and the economy, therefore we keep moving up.

The market is pricing the future, not just what is happening now*

The market is pricing the future, now just what is happening now. This has lagged the re-rating of airlines, so is now in catch-up now that we are moving into opening up the economy again.

Stay long team, this has some legs on it for sure.

Some bullish news out from Adidas today about a quick pick up in retail demand in china post lockdown, good read across for the sector.

Also no one likes queuing! people will prefer to buy clothes online instead of queue for hours due to all this social distancing in place.

Good spot

Shorts increased off the back of the latest move up:

Total 8.58%

Think that was a short covering just now, guess that is a good sign.

https://www.bloomberg.com/news/articles/2020-06-01/jpmorgan-s-math-shows-why-u-s-stocks-can-keep-rallying

Giant piles of cash sloshing around the financial system means there’s substantial ammunition yet to push risk assets higher. JPMorgan Chase & Co., meanwhile, sees potential for billions to flow into equities at the expense of bonds to rebalance portfolios. Money-market funds have lured $1.2 trillion this year, while fund managers with $591 billion overall are holding cash at levels rarely seen in history, according to Bank of America Corp.

All that shows how much firepower investors have to support the market at a time when stock prices look unhinged from fundamentals like corporate profits, and trade frictions between China and the U.S. return to the forefront.