The very strong trading action continues, and this time the indices are participating, as well. For some reason, all four of the FANG names (Growth Seeker holding Amazon (AMZN) , Netflix (NFLX) and Action Alerts PLUS holdings Facebook (FB) and Alphabet (GOOGL) ) are in the red, but there is no shortage of momentum out there, once again. I've actually heard some traders talking about similarities to the action in 1999 to 2000, but it doesn't feel anywhere near that frothy.
Acacia Communications (ACIA) is one stock that does bring back memories of the bubble days, but most things aren't that overheated. Twilio (TWLO) continues to run, and my Stock of the Week, NetEase (NTES) , is acting well. We are also seeing follow through on some names I've highlighted recently, such as Oclaro (OCLR) , TPI Composites (TPIC) and Splunk (SPLK) .
The action in so many stocks is positive that it is making me a bit nervous, but it is often at this phase of a rally when you make the big gains by pressing. As I discussed in my opening post, traders tend to make their big gains within a limited window, so when things are working, it generally pays to press.
Stay focused on stock picking. It is working extremely well right now.