Your Weekly Blip 12/18/20

Your Weekly Blip 12/18/20

Today was options expiration date and the Dow closed off 124 at 30,179. Trading volume was off the charts. For the week the Dow gained about 0.3% and remains stuck at the 30k mark pending stimulus and vaccine rollouts. Both IBD and BTS indicators remain positive.
There was crazy trading in Tesla today as passive mutual funds and ETFs which track the S&P 500 Index focused on Tesla. These institutional investors are required to buy shares of Tesla because on Monday the 21st Elon and company will officially be a part of the index. It is estimated that upwards of $80 billion was being directed at Tesla today since these index investors needed to square their portfolio with the index they track. Talk about buying high! Monday will be interesting from the point of what the stock will do once all the big buyers have now loaded the boat. It begs the question…..if everyone already owns the stock who is left to buy it?
Other than Tesla it was a quiet day so there was no other news of note.