Thursday, 14 November 2013

AMZN, TWTR - loss making momo stocks

With the main market continuing to climb higher, it is no surprise to see both old..and new momentum (momo) stocks join the party. AMZN and TWTR closed significantly higher by 3% and 5% respectively, and the near term outlook remains bullish.

AMZN, daily

TWTR, daily


Suffice to say, at least the market is consistent in some twisted ways. Neither AMZN or TWTR are currently turning a profit, but hey.. since when did that matter in the 'new economy'?

TWTR is still in very early days as a stock of course, but it is so far managing to stabilise after an initial..(and notably brief) break <$40.

I would be somewhat surprised if TWTR can manage to break above $50 by year end, but then...these crazy tech IPO stocks are hard to guess.

*the momo my view are for entertainment viewing only. I leave them well alone! However, they are a good reminder of just how crazy this market remains.