April 17, 2014 5:35 PM
After a profitable investment in Bank of Ireland (IRE), Prem Watsa (Trades, Portfolio) and Wilbur Ross (Trades, Portfolio) have joined forces to lead a cash infusion into another of Europe's stricken financial institutions, Eurobank Ergasias S.A. (EFGC.F)(EUROB.AT). The two investors are coming to the bank's aid as it raises money to meet new recapitalization requirements set by the Greek Parliament, effective March 30.
I've seen it much wider than that! I cannot ever recall a time that the ADR traded at a discount to fair value however.
JF when I asked my question about selling twice I was going by my memory of the event. When you countered my comment I needed to confirm my memory and researched it and found that I was correct and gave you the opportunity to research it with my suggestion to Google it.
Lets move on, this fact has been resolved and continued bantering is silly.
The ADR cannot perform consistent with the underlying as long as the dollar strengthens against the Euro, math is math.
Wrong JF, do a Google search for "wilbur ross sells bank of ireland" you will find you are the one who is misleading people not me.
Dgrady that mental midget at one time or another has accused everyone on this board as being me! Best advice I can give you is put the nutcase on ignore!
Highly speculative but possible double is PLSB. I was trading it fairly often through the decline. Seems to have bottomed at current prices on anemic volume, generally a sign that a change in direction is at hand. They could make significant profit with all the distribution that is being set up.
Meanwhile at Reuters;
The dollar hit a four-year high and oil hovered near a two-year low on Thursday, as investors wagered the United States will be one of the few economies healthy enough to wean itself off of central bank aid in the near future. Share markets in Europe (.FTEU3) started with small gains as Britain and France debated joining U.S.-led military action against Islamist militants and as the euro sank to a 22-month low on bets the ECB will need a major stimulus…
Here you go! http://finance.yahoo.com/mbview/threadview/?&bn=416ebee8-db53-3d69-aa55-6c8b4c307bcc&tid=1409924204398-17edf072-74a2-4ba8-b915-2f54374d2a7d
As I posted earlier here, It appears the death cross in crude oil in early September may again be the early warning of a broad market decline. Sit back and relax! Cash is King!
JF allow me to put your mind at ease. Your comment about my outlook would imply I am emotional! You are a bright guy, you must recall how many times I make reference to avoiding emotions with investments. Rest assured I am fine and I appreciate your concern for me.
dgrady you are correct as to the Irish economy and that of the entire Euro Zone but when it comes to valuation of a local currency the fluctuations in the value of a currency is the reflection of world economies as compared to each other. The falling Euro is telling a story.
JF, investors in BIR.IR will enjoy the rise in BIR.IR if they are investors living in an area with the Euro as their currency. A US investor in BIR.IR will realize their gains and losses after conversion to the US Dollar, precisly the same as if they invested in the ADR.
You bring up chart action that clearly illustrates the impact of the falling Euro as it values the ADR! That potential golden cross you speak of with the 50 day line crossing the 200 day to the upside is with the underlying, BIR.IR. The 50 day line continues to be considerably under the 200 day line with the ADR, IRE. That lag is purely from the falling Euro, which people far smarter than anyone posting on this board agree will continue to fall as a result of the rapid economy expansion in the US as compared to Europe.
Yes my stop discipline forced the sell. I don't base my actions on fundamental evaluations, purely technical analysis. I don't ignore the fundamentals of any stock I am involved with but don't base my buy or sell on the story, stories lead to emotional attachment which generally leads to loss!
When PEIX prints a higher low in this correction it will become a new buy candidate for me. There is more to my analysis but that is a very simple explanation to how I set my stops.