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The market mood matters a lot in the short-term. Lately, it has been quite sour. Look at the market reactions to decent earnings reports. Amazon, Google, Netflix among many others beat earnings estimates and yet the market found a reason to push them lower. This is what happens in a weak corrective market. Good news is ignored, the bad news is magnified and over-discounted.
There are two types of stocks that outperform after a big market correction:
1) The ones that got hit the worst.
2) The ones that held the best.
In this episode of Momentum Monday, we took a quick look at some of the stocks that might turn into potential future leaders and we commented on the price action in popular stocks like MCD, WMT, AAPL, SBUX, TWTR, FB, etc.
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