like i said.. i'll buy at $7
i like hts here, stay arms until post taper then swap to agnc and pick up yield due to underperformance vs hts.
I am fine. I made $1,149.37 trading today and I still own my 23,000 HTS shares i had at yesterday's close + those shares have gone up in value by $4140. So i am very fine with all that. Happy as a bug in a rug. I still think HTS will outperform AGNC over the long haul.
Lets see. Will AGNC get crushed just before close?
7.34% loss to equity on +100 BP move.
3.16% loss to equity on +50 BP move
+6.64% equity GAIN on -50 BP move
+3.63% equity GAIN on -100 bp move
WOW looks good to me. Nice setup. So if mortgage rates were 5.5% today, NAV would drop around 7%. (assuming basis widening did not occur)
If rates moved down only 50 bp, about a 7% gain to book value. WOW. That is super. Love the setup. Who wouldn't???
Was just wishful thinking I3I_00lvl. WISHFUL #$%$ THINKING. Probably done now that NLY is boss. They are moving more to commercial assets and they have low leverage which is great for taking advantage of market conditions next year to ramp up the dividend.
treasuries are down 19 ticks on 10s... HUGE SELL OFF. wow... NAV got crushed today. Good thing mortgage reits don't know that.
I went long 38,000 NLY and closed HTS. Even swap. Like a rocket man! Woooo. 5x leverage at NLY is low. Maybe they take leverage up post taper and raise the divident.
NLY is rocket man, Taking the house with it. NLY NLY NLY $10.17. WOOOOOAAAHHHH. Like a rocket.
SLAP SLAP SLAP. In the longs face. HFT HFT HFT
yep but technicals prevail. $20 cracked so it goes down big now.
Oldschool. You are talking about fundamentals. They don't matter anymore. No one cares about the sensitivity.. they only care about technicals. AGNC fell below $20 today. No one cares about anything else. They will sell it and sell it HARD. It's going to low $19's by days end. I understand your reasons, but the market does not care and it never will in the short term. HTS has no magic price to trade against. It's already $16.50's.. There is support at $16.50 especially so, but there are support all along the 16s... It is an NYSE stock and therefore won't #$%$ up like nasdaq stocks. Yes NLY is NYSE too but it will do better than AGNC tomorrow. AGNC will break down and crash. I am just fear mongering.. i am telling the truth.. when you see this stock attempt to take down $19 tomorrow I hope you think of me.
Will drop $1 on no news. HTS will go up or be somewhat flatish. Just the way things are. Fear is out there and it's not going to stop until the great taper has come and past us. Fed bond buying program was a complete #$%$ up.
Yep, because the savings from the swap I will buy puts as well to hedge.. So if it really goes to #$%$ I will make out just fine from the puts. I am looking for enough savings from the swap to give me a 30 day OOM put for free. Like the $19 strike perhaps. That would cover me through the dividend announcement. We'll see....It all depends on the price of HTS vs AGNC tomorrow. Might not swap at all.
Didn't think you would.. Definitely looking forward to a possible swap tomorrow when AGNC tanks and HTS goes up or stays the same. AGNC is broken.