you should of had in your stop losses at 4.50 when it sinks under 4 again. you are counting on this sector rally to continue unabated while half of the banks had really crappy news. it may continue for the next week but soon after that this sector rally will end. you already see jpm up to 45 and ms at 30. they may continue to run further but C, BAC, FITB, BAC, and a few others are in the danger zone. This has been a good rally but it is not supported by any fundamentals in the sector...C can only rise on a short squeeze...the same for the others....it will rally if the sector continues upward but it can fall right back to 3.50 for very basic reasons. Not one area of C's business improved year over year not to mention their cost structure is even worse than last year. it is probably better to purchase the 5.50 calls if you really believe in this short squeeze than holding the stock. that is my opinion. A short squeeze can go to 8 but a long squeeze can go back to 3. At that point you will be suffering.
i am not at liberty to reveal that information to you. The CEO of Citi made the status of C very clear. Nothing will be considered until 2012. You want me to tell you about their commercial business? Take a look what they did for consumer credit? Citi is a beast with no control. I applaud your interest in the stock and you desire to know about me. Read the full financials from last year and then from this year. I will not pick the correct pricing for C but you should be aware that there is a lot of downward risk. I do own puts on citi based on the fundamentals. Good luck if you are long. You have much more profit to make than me. It is only fair that probability is that it will fall since your profit would have to be shared for 30 billion pieces of paper. I am just a stupid guy looking at what i think is an overvalued piece of paper. I am sure that Citi is not losing money on the financial crisis in europe or the possible downfall in the chinese real estate market. The developing world is so hot and yet citi cannot post more than a 1 billion dollar profit. What happens when the economy gets really tough? I think you are right but I will hold my puts and you hold your long position. I made some good money being long on financials, but the results for financials were worse than disappointing. They showed in a robust quarter that financials still could not make money. Hats off to jpm and ms. I sold them at 44.70 and 29, respectively. This sector rally is about done in my opinion, but don't you hate market timers. The asian stock markets are down 7 percent for the week but the US market trudges forward while the nasdaq is in a short retracement and the s&p falls. Do you really think that companies with bad earnings are going to do well during a 5-10 percent retracement. Who knows? I have more faith in MS and JPM from their results. There are still lots of toxic assets and that problem has not gone away. Neither has the foreclosure problem. It is only that banks are holding more for inevitable losses in that area. We have not even reached a credit card crisis or a commercial real estate crisis. Yes, you are right. Citi is in great shape. Just listen to the CEO. We cannot do anything until 2012. That sounds so confident. I thank him for letting me to know to leave the stock. At first I was upset but if you think about it he gave you a good warning. There was nothing positive in any of his remarks and I listened to the whole CC.
you are a breath of fresh air keep posting, I am in agreement with you and I also have great hope for Citi, but not yet' in 2012 - there is much for Citi to do before it gains respect and momentum
A lot of downward risk? At this price?? Cash on hand of $767 Billion, the government sold all it's shares, interest rates at all time lows, treasury spreads steepening, and there's a lot of downward risk? Not sure how much money longs will make in the long term, but low probability longs will lose money.
Go away. Stop pretending you know what you're talking about. You probably don't even have money to participate in the market.
I can appreciate your view, but your comments on Citigroup are too general. Please provide us with specifics. For example, you say that the company's cost structure is worse than last year. What specifically is worse? What in their balance sheet has not improved? Finally, what are your qualifications for assessing the strength or weakness of this company? Your response will be most appreciated.
come back in one month. we will see who is right and who is wrong. haha. you own options. i can tell by your talk. they are worthless if this sinks.....do not worry call options dropped belows puts this past week. even so there will be incredible pressure on this stock as institutions are playing chicken with each other. sooner or later it will be a mad scramble to the door. i only warn retail investors. so, you can keep your c stock or options but you are a real sucker if you hold them long term. this bank is only 40 billion away from its all time high market cap. that is another 1.30. you should do some research before you call everyone stupid. are you cramer?
you must be. why don't you say when to buy and when to sell stocks and post it on a board so everyone can see your past performance. Weren't you the guy who said to buy GM when it was 40 dollars a share....what happened? did you ever post when to sell it? i write this to help new investors not to get suckered. I do own some puts on C but I will not lose my shirt on them if it goes up. you think that this board really makes a difference. i do not. it is a game of chicken. many institutions want to offload C but they cannot a price from any other institution. that is the only reason the price is staying up. the price they get is so low that they do not take it. instead they think of rising it but they are scared because they know the other institutions will be selling it like crazy on any real rise. my guess is that it will go up but if it goes down it will plummet. that is why i bought puts. I give it a 40 percent chance of being under 4 by april and a 50 percent chance of being over 5, but i doubt it will be in this neighborhood for a long time.
what i am saying is simple....wall street had to buy the gov shares...investors did not buy them. investors could not afford to pay that much money...wall street needs to unload these shares....cramer is spouting on c and all the others without support on the fundamentals....once wall street shorts enough of this thing they can let it drop without a question... be long on calls. the premium for a long term call is under 10 percent....buy the 5.50's or even the 4.00....this will drop in the end because it has bad news written all over it....after 7 shorting is a good idea. this baby cannot be capped over 250 billion. their balance sheet is not pristine. i sold my 20,000 shares are 4.86. i am now in calls. i am playing with wall streets money. i like that better and no matter what i will not lose on this pig.....thank you wall street.