After everyone sobers up the market takes off like a rocket. I plan to stop trading until the time between Christmas and New Years. The weasels are out, always a good sign.
Take a look at KMP historical prices for December to January 2011,2012 and 2013. They look very similar . It will take off by Jan2 Hot and heavy. I did not follow my own advice and bought early and it will cost me a bit. Best time to buy is between Christmas and New Years. It might hit a dollar lower before taking off . Also another sign of uptrend is ignorant weasel posts of posters advise if you to sell. They are always a good sign.
Sentiment: Strong Sell
My two favorite indicators lead me to believe the market believes QE and Interest rates will be stable short term . ^TNX CBOE 10 year TNote today closed $2.80 off 6 cents and TBT a 3X ETF that moves closely with the 10 year T Note was off 1.47%. But of course the market does not make the decision . My favorite MLP pulled back and allowed me to load up for the Jan. run. KMP has been a can't miss trade four times each year.
The people who lose on this will be the ones that give up and hit the sell button in fear. Things will settle down as the market gets use to the new norm.
There a ExDay every month. The market will figure out what the stock is worth with a 1.4 cent Dividend cut paying a 17+% yield. those lining up to sell there shares for $5 will find willing buyers.
Mr.Wise I Sold 2/3 of my FSC today to raise capital. I am selling Puts FSC140517P10@1.12. So in May 2014 I expect to get FSC shares @ $8.82.If I can sell for a higher price I can get the shares at a lower price. I expect the PPS of FSC to recover by May and I will keep the $1.12 premium.
Mr.Wise. There are many that have a high yield but they are dangerous. I personally hold RSO-B and AMTG-A that yield over 9% and EVER-A and AF-C which are pushing 8%. All Ex this month and are down for the year and are being sold for a tax loss. Buying after Ex before the end of the year might work well.
Last year KMP hit $90 in Jan and $92.99 on the April run. I have predicted $100 for the last year, it's just a matter if time. Every QT the price swoons so you can get a good entry price.
I agree with Musky FSC PPS corrected on Dividend cut and missed earnings. PSEC may have its problems in the future. FSC has a much better upside . I am long and short on FSC & PSEC. That is to say positive on both long term.
Muskie, I live near Charlotte,NC about a 2 hour drive to Lake Hickory where catching a Musky will get you in the local sports magazine . Phil
Musky, yes that's what DocReits says is the historically best entry and exit point. PSEC seems to be getting pricy and I waited longer this run to get $11.03. I think PSEC will correct much like FSC. I will stay small until sheet happens and will not be in at earnings . I hope that answers your question. By the way for FSC history recommends a X+9 buy and a X-1/X-2 half and half sale. I look forward to FSC getting back to normal. I have never caught a Musky or fished Musky water . I think a few have been caught in Lake Hickory, the southern limit of migration in this region.
slicktop, Did you buy or sell FSC Puts? There are very very few "stock faries" with no positions that bash daily.
PSEC for me is a buy at X-10 and sell X-1 using a 9 day hold avoiding earnings with perhaps a extra buy or sale in the middle.