This is just old cut and paste junk, if you have something to say about psec fine, but keep the junk to yourself........cut and paste is not acceptable to the gifted buy and holders on this board.
BTW, I got it at 8.55 because I had a standing buy order in under the market. Also, I currently have a new standing buy order in under the market for psec.
Baloney, in the past 3 days the s&p has advanced 79 points or over 4% while psec has not gone up one penny. During periods of high volitility I shift to high beta products to trade. Which is what I didf after the flash crash. PSEC is a dead man walking right now Also, I posted my trade on psec the day of the flash crash within minutes of my buy and sells, bought at 8.55 and sold at 8.89 10,000 shares for a 3400 profi in minutes. Hindsight shold have held longer but I actually did better going to 2 and 3 times long etfs and etns. At thuis minute I am AGAIN BACK IN CASH, .
Nothing new, rehash from the past every time this market gyrates with such volatility. Nothing new under the sun. Just guys having to publish to earn a living. Cramer down and up all in the same week. All BS. Every day another story and so many trying to sell something like they discovered the Golden Ark.. Do your own DD.
What, spx is the symbol and the 200dma is arround 1900 which it closed above monday and today it closed well above it at 1941.
It was shorted and management complained.When in fact their business model sucked !!
"The S&P 500 (^GSPC) is bumping back up against its 200-day moving average. What once was a support level for the market, in other words, a level below which it would not go, may now be resistance ... a level above which it is difficult to travel. Failure to break meaningfully above the 200-day moving average could mean that more selling is in the offing. "
"Today’s moves in asset prices would not have been so dramatic had markets not been so overly optimistic in their positioning. But they were. And the resulting price volatility was dramatic in virtually every asset class.
In such wild markets, a growing number of traders received that dreaded tap on the shoulder from risk managers to exit positions regardless of liquidity. And that liquidity was patchy to begin with given that broker-dealers have little appetite for risk these days. The result has been multiplying technical disruptions"
Another article written by the same author "October's Wild Ride Isn't Over Yet" on 10/15/14:
"The first half of October and particularly the last five days and today have been brutal for investors who had bought into the notion of the low-volatility "Goldilocks" economy and markets. They have experienced large losses on their highly correlated positions in different asset classes."
"For quite a while now, too many investors have been comforted by two intoxicating notions: that the global economy would continue in a low-growth equilibrium, thus avoiding both a recession and an inflationary boom, and that central banks would succeed in repressing market volatility, not just pre-emptively but also after the fact should an unanticipated event occur. Together, these perceptions encouraged large across-the-board risk-taking that, in many instances, lost sight of fundamental valuations, liquidity realities and unbalanced market positioning."
"3. Market positioning and related risk-taking are no substitute for solid fundamentals."
"4. The Fed still doesn’t have much appetite for financial volatility, and markets will readily embrace its reassurances that it will try to act to counteract these gyrations."
"Together, these four lessons suggest that, rather than being a one-off event, last week’s volatility is better seen as an indication of what may lie ahead -- unless nations can make profound and durable improvements in their economic and political fundamentals."
You should read the whole article.
The markets are on QE infinity. Every time the markets start to tank a little the Fed says it will continue to buy. Keep in mind the old saying you can't fight the Fed. They are afraid of deflation and as long as there is no great signs of inflation everything will remain the same.
10/20/14 "4 Lessons of a Wild Market Week" by Mohamed A. El-Erian (he left Pimco for his 10-year old daughter, you should read more about him)
"Here are four noteworthy lessons to be drawn from last week:
1. It doesn’t take much to severely dislocate markets, both down and up. "
" 2. Liquidity is elusive when traders need it most, even when it comes to the deepest of all markets.
Much of the jerky and extreme price movement can be attributed to the lack of market liquidity."
According to this author of the article: "Be Careful, The Correction May Not Be Over" posted today:
"That rally has indeed occurred as expected as "dove-ish" talk from the Federal Reserve, along with an impotent ECB, continues to make "hope" spring eternal for market bulls. Here is the problem. The Federal Reserve will end its current liquidity program next week and the ECB will likely be unable to expend enough "firepower" to pull the Eurozone out of its deflationary spiral.
Furthermore, for the first time since 2012, the markets have experienced "real" technical damage which will take some time and effort to repair. As I touched on last week, the S&P 500 has now broken its bullish "uptrend" for the first time in 3 years as shown below."
You have to be very careful with this market, IMHO, it was being highly manipulated, by large hedge funds and institutional investors. We small investors almost have no chances unless we buy what we understand the best. Many large hedge funds sold off when S&P reached 1821 on 10/15 and now they went back and started buying again because their performance in 2014 have been so lagging that they are now playing catch up and cannot allow any of their CASH to sit idle, but you can.
PSEC is probably one the best BDC one can buy, but at the right price and if it gets closer to 10-10.30 range, it will become a lot more risky because of the uncertainty of its ability to sustain its dividend.
The thing is my smart friend who has been investing for over 30 years told me today that he believed most of BDCs had reached their bottoms and have no ways to go but up starting next year. He bought a whole bunch of them last week when the market tanked badly. Now if any of you were indeed lucky to buy any good BDCs such as PSEC at their 12-mo lows, then I do agree you have nothing to worry but hold on to all those shares and enjoy your dividends. I will myself. Russell 2000 had reached its 12-mo low on 10/15/14, lost about 14.8%, many BDCs dropped more than that, therefore with many of them pay more than a 10% yield, trading with a 10% or higher discount, you surely cannot go wrong with them.
Now some of them bounced a lot after 10/15/14, almost too much, IMHO. Like MAIN, I have been telling everybody in FSC board to start buying it when it dropped below 29 because it is the blue chip BDC and always bounce back up above 30 in no time. I did buy it twice below 29 and should have bought a third time. It did close at 30.66 today. Is it still a good BDC? YES, should you buy it at its current price? Probably not because there are so many other good BDCs to buy.
and reclaimed the 50sma on weekly chart.. Today the SPY had a bullish gap continuation. Anytime a stock gaps up and continues it shows conviction. Furthermore, the distribution days Monday, Tuesday and Wednesday has changed to accumulation.