On August 10, I made a video to share with the public about a circle of stocks I owned in my Zacks portfolios that I felt were all in a race to $200…
The $200 Club: Will Facebook Beat Alibaba There First?
Here were their approximate closing prices on that day (rounded up to nearest dollar)…
Alibaba ( BABA - Free Report) : $152 Facebook ( FB - Free Report) : $168 Lam Research ( LRCX - Free Report) : $150 Align Technology ( ALGN - Free Report) : $172
In the video that accompanies this article, I show fresh charts two months later of the ups and downs since that day.
Clearly, most of these “high-flyers” were still great buys in August. Except Facebook which may have some trouble on its hands as it deals with “adjustments” in its advertising policing in the wake of the “fake news” epidemic.
But I still recommend that long-term investors own and accumulate FB under $170.
I also reveal a big mistake I made selling one memberof the $200 Club.
Thankfully, I screwed my shrewd trader-investor head back on and bought
NVIDIA ( NVDA - Free Report) near $175 right before it made its run for all-time highs above $190.
So now we have ALGN and NVDA leading the charge to $200, with BABA and LRCX running neck-and-neck near $184.
In the video, I also take a look at the over-bought Philadelphia Semiconductor Index chart and what opportunity that might spell for us.
By the way, if you are interested in the mental game of trading and the irrational, self-sabotage we all deal with as active investors, you might enjoy my podcast tribute to the latest Nobel prize in economic sciences winner, Richard Thaler.
We can’t expect to be “perfect” as traders and investors, and knowing what trips us up, and what lifts us up, is key to top performance.
Thaler probably doesn’t know much about active trading, but his and Daniel Kahneman’s life-long battles to bring psychology into economics – and thus give birth to
behavioral economics – have helped my daily battles immensely. Here’s that link… Thaler's Nobel: Brilliant, Lazy, Humble
Disclosure: I own shares of BABA, NVDA, FB and ALGN for the Zacks TAZR Trader.
Kevin Cook is a Senior Stock Strategist for Zacks Investment Research where he runs the TAZR Trader service.