The spectacle of two stocks that deserve our opprobrium launching into parabolic rallies cannot but help remind us of the sometimes crazed power of OPM.  Yahoo and LinkedIn shares appear headed into the wild blue yonder, but there are reasons to think that the exuberance driving their ascent is misplaced.  We’ve seen no evidence of genius in Marissa Mayer’s stewardship of the Yahoo. To the contrary, her billion-dollar play in Tumblr should make shareholders queasy rather than ecstatic.

As for LinkedIn, although Wall Street seems not to care, we take seriously a lawsuit that effectively accuses the company of acquiring subscribers through deceit and fraud. Not that that is necessarily bearish for a stock, given the level of deceit and fraud that permeates Wall Street itself. We shall see. For the moment, however, subscribers are short in YHOO! via some out-of-the-money puts, and on-notice to short LNKD as well when it hits a Hidden Pivot rally target at 268.50.