Top Stocks Hitting New Highs Signal Drop Alert

Key stocks like SanDisk Corporation SNDK, Baidu, Inc. BIDU and Netflix, Inc. NFLX all made new 52 week highs today with large surges in the first hour of trading. Baidu, Inc. jumped on continued retail buying after the 10 for 1 stock split. This jump after a stock split is normal as the retail investor now finds the stock cheap enough to buy. As they buy, the institutions unload. Baidu, Inc. gapped higher this morning, pushing to a high of the day of $82.29. A negative bias was issued with a bearish outlook on the Pro Trader Watch List. As projected, the stock has fallen back to go negative at $77.21 -1.00 (-1.27%). Always remember, stocks following a split usually jump on retail buying. Never get caught in this buying frenzy, you will ultimately end up on the wrong side of the trade. We are seeing this today. SanDisk Corp. made a new 52 week high today, hitting $45.20. This stock is extremely extended and was also added to the Bearish Pro Trader Watch List according to InTheMoneyStocks. In the Intra Day Stock Chat as it crossed $45.00, it was alerted as an Even Number Play. The Even Number Play is a master trading play created by Chief Market Strategist at InTheMoneyStocks. Since the short over $45.00, SanDisk is now trading back at $43.93 -0.34 (-0.77%). Everything that is discussed and done is based on proprietary technical analysis at InTheMoneyStocks. Another huge surge in Netflix, Inc. took the stock to a high of $119.50. This was a huge move to a new 52 week high. Since that point, the stock has dropped back to earth. It is now trading at $114.00 +6.17 (5.72%). This is a $5.50 fall off the highs of the morning session. Be careful of stocks that surge higher on short covering make new 52 week highs in this market. Understand that technical levels. Netflix was also added to the Bearish Pro Trader Watch List at InTheMoneyStocks. Gareth Soloway Chief Market Strategist www.InTheMoneyStocks.com