Following earnings reports after the close Facebook (FB) , Amazon (AMZN) and Apple (AAPL) are up between 4% and 7%, while Alphabet (GOOGL) is up 0.4%. Those four reports plus a few others have the Nasdaq 100 ETF (QQQ) gaining 1.6% after the bell.
All four reports are solid and even beat already high expectations. Alphabet is the weakest of the group but Facebook and Amazon are absolute blowouts. Bears looking for a "sell the news" reaction to trigger a market reversal are going to have to be patient. Currently, the shorts are on the run and desperate to escape.
This is a good example of the great difficulty of being an anticipatory bear in this market. These leaders continue to lead the market higher and while their valuations may seem stretched, it is a very tough case to make when they beat estimates to this degree.
The big question now is how much further can the market run on this sort of positive news? The answer is that no one knows but momentum has a way of lasting longer than most everyone thinks is possible.
This sort of action is not only going to drive indices back to recent highs but should keep the very aggressive speculative trading going. New retail investors will see these results and will be searching high and low for other stocks that they can buy.
As I wrote earlier the stock-picking bulls are dominating the market-timing bears and now even the market timing is turning bullish.
I'll be looking hard Friday for some new buys.
Have a great evening. I'll see you tomorrow.