The action in the high-growth stocks today calls into question the buyers' methods and motivations from yesterday. Perhaps these buyers have stepped away. Perhaps they are waiting for lower prices.
But when I see the selloffs, I wonder whether the buyers just didn't want the stocks higher to make some sort of end-of-the-quarter stand.
How about this? Sometimes I used to see mutual funds plant the flag, basically saying, "Don't bother to short these, we are not going to let them come in between now and the end of the quarter."
They figure it like this: Once a stock is up a great deal -- moved up by the buyers -- the same buyers can then stand there and defend it right into the end of the quarter. That's a much less "observed" strategy than waiting until the last minute to move them.
I hate this stuff.
But I bet they come back between now and the end of the quarter. I don't trust them either way after this move, but I do point out that the buying seemed too motivated, even as I like high-growth stocks in an atmosphere where there is no global growth to speak of, at least in the developed world.