Tradingfxdaily.com
  • Home
  • Forex
  • Crypto News
    • NFT News
  • World News
  • Business
  • Stock Market
  • Economic Calendar
No Result
View All Result
  • Home
  • Forex
  • Crypto News
    • NFT News
  • World News
  • Business
  • Stock Market
  • Economic Calendar
No Result
View All Result
Tradingfxdaily.com
No Result
View All Result
Home Business

Meme stocks are a ‘self-containing loop,’ market strategist explains

tradingfxdaily by tradingfxdaily
August 15, 2022
in Business
0
Meme stocks are a ‘self-containing loop,’ market strategist explains
189
SHARES
1.5k
VIEWS
Share on FacebookShare on Twitter

Related articles

Stock Futures Muted as Investors Weigh Fresh Economic Data

Stock Futures Muted as Investors Weigh Fresh Economic Data

January 31, 2023
GM’s Fourth-Quarter Profit Soared as Supply-Chain Problems Eased

GM’s Fourth-Quarter Profit Soared as Supply-Chain Problems Eased

January 31, 2023

Retail traders are back at it again — using a signature playbook to push meme stocks and other assets higher.

“The retail is back,” Interactive Brokers chief strategist Steve Sosnick told Yahoo Finance live on Monday.

“The meme stocks I guess are the perfect tell for this. To a certain extent crypto coming back [Bitcoin] (BTC-USD) testing $25,000 is another tell.”

“A lot of people are using the 2020, 2021 playbook over again,” said Sosnick.

“It was a spectacular playbook for that period of time. But the rules of the game seem to be changing.”

Despite Fed concerns, uncertainty out of China, and questioning whether the markets are in a bear market rally, stocks like GameStop (GME), AMC (AMC) and Bed Bath and Beyond (BBBY) have been soaring recently. New names like Chinese tech firm AMTD Digital (HKD) have also surged.

Retail traders poured into names like GameStop and AMC in early 2021. They became the flagship meme stocks amid a period of high liquidity in the markets and looser monetary policy. But since then, the Federal Reserve has been hiking rates amid soaring inflation.

The markets went into bear market territory earlier this year, but have since come off their mid-June lows.

“For now the playbook is working,” said Sosnick. “But I have to wonder if using that same investment playbook that worked for you which includes ‘Don’t fight the Fed’ – which in that period of time the Fed was your friend — now the Fed is kind of a headwind.”

Sosnick notes the meme stock rally nowadays has a “less organic nature to it.”

“The initial meme stock craze you had people coming in who never invested before putting money into these stocks and investing. Now it seems to be the same cast of characters chasing the same list of names with a couple of new exceptions every so often,” said Sosnick.

“That becomes more of a self contained loop,” he added. “The meme stock trading works great if you’re early. It works terrible if you’re late.”

Ines is a markets reporter covering equities. Follow her on Twitter at @ines_ferre

Click here for the latest stock market news and in-depth analysis, including events that move stocks

Read the latest financial and business news from Yahoo Finance

Download the Yahoo Finance app for Apple or Android

Follow Yahoo Finance on Twitter, Facebook, Instagram, Flipboard, LinkedIn, and YouTube



Source link

Share76Tweet47

Related Posts

Stock Futures Muted as Investors Weigh Fresh Economic Data

Stock Futures Muted as Investors Weigh Fresh Economic Data

by tradingfxdaily
January 31, 2023
0

MarketsU.S. MarketsReadings in Europe and China point to stronger-than-expected growth and inflation Source link

GM’s Fourth-Quarter Profit Soared as Supply-Chain Problems Eased

GM’s Fourth-Quarter Profit Soared as Supply-Chain Problems Eased

by tradingfxdaily
January 31, 2023
0

BusinessEarningsAuto maker also posted record full-year operating profit Source link

Ukraine willing to be neutral, says Russia wants to split nation By Reuters

Australia deploys more experts, equipment to search for lost radioactive capsule By Reuters

by tradingfxdaily
January 31, 2023
0

© Reuters. A member of the Incident Management Team coordinates the search for a radioactive capsule that was lost in...

Private Equity Taps Insurers' Cash to Speed Up Growth

Private Equity Taps Insurers' Cash to Speed Up Growth

by tradingfxdaily
January 31, 2023
0

Blackstone, Carlyle and other fund managers are reaching deals to tap the insurance industry’s cash. Source link

AMD Reports Earnings Today. What to Expect.

AMD Reports Earnings Today. What to Expect.

by tradingfxdaily
January 31, 2023
0

Text size AMD stock has fallen by 30% over the last 12 months. Dreamstime After Intel’s disappointing earnings report last...

Load More
  • Trending
  • Comments
  • Latest
Short SPX: Top Trade Opportunities

Short SPX: Top Trade Opportunities

April 5, 2022
The Top 5 Metaverses to Look Out for in 2022

The Top 5 Metaverses to Look Out for in 2022

March 26, 2022
What is Leverage in Forex? Forex Leverage Explained

What is Leverage in Forex? Forex Leverage Explained

April 19, 2022

Larry Fink says globalization is over — Here’s what it means for the markets

March 26, 2022
Tesla Stock Split: What to Know as EV Maker Prepares to Split Its Stock in 2022

Tesla Stock Split: What to Know as EV Maker Prepares to Split Its Stock in 2022

March 28, 2022
US stocks open higher reversing premarket losses held by better US employment cost data.

US stocks open higher reversing premarket losses held by better US employment cost data.

0

In a Less-Globalized World, Be Careful Where You Park Your Plane

0
Cardano pares most of its Q1 losses as ADA rebounds 60% in a month — What’s next? By Cointelegraph

Cardano pares most of its Q1 losses as ADA rebounds 60% in a month — What’s next? By Cointelegraph

0

Larry Fink says globalization is over — Here’s what it means for the markets

0
Natural-Gas Industry Gets Boost as Biden Shifts Stance

Natural-Gas Industry Gets Boost as Biden Shifts Stance

0
US stocks open higher reversing premarket losses held by better US employment cost data.

US stocks open higher reversing premarket losses held by better US employment cost data.

January 31, 2023
Russia may not have invaded Ukraine but for Brexit, says EU’s Verhofstadt – POLITICO

Russia may not have invaded Ukraine but for Brexit, says EU’s Verhofstadt – POLITICO

January 31, 2023
Hacker Who Was in a Race Against Time to Fix Twitter Has Quit Instead

Twitter May Escape Bankruptcy – TheStreet

January 31, 2023
How AI can make the metaverse a more interactive space

How AI can make the metaverse a more interactive space

January 31, 2023
Stock Futures Muted as Investors Weigh Fresh Economic Data

Stock Futures Muted as Investors Weigh Fresh Economic Data

January 31, 2023
Tradingfxdaily.com

Tradingfxdaily.com is your Forex, Stock News, World News, Crypto Currency News, Business News & NFT News Website. We provide you with the latest breaking news and videos straight from the Trading industry.

  • Home
  • About us
  • Contact Us
  • Privacy Policy

© 2022 - All Right Reserved. tradingfxdaily.com

No Result
View All Result
  • Home
  • Forex
  • Crypto News
    • NFT News
  • World News
  • Business
  • Stock Market
  • Economic Calendar

© 2022 - All Right Reserved. tradingfxdaily.com

EURUSD=X 
$1.09  -0.02%  
EURCAD=X 
$1.45  0.11%  
EURJPY=X 
$140.87  -0.42%  
GBPUSD=X 
$1.23  -0.29%  
EURNZD=X 
$1.68  0.22%  
AUDUSD=X 
$0.7025  -0.52%  
CADUSD=X 
$0.7465  -0.08%