Dividend.com: Longing for State Street
We questioned Bank of America's (BAC) timing of a deal to buy Merrill Lynch (MER) last weekend, as we figured Merrill Lynch may have gone to single digits if Bank of America didn't make a move when it did. In any free market, the players involved understand that you will never buy a stock -- or even acquire another company -- at the very bottom. The trick -- as always -- is doing your homework and making an educated move at the right time.
We strongly believe that the market should decide who become the winners and losers. Changing the rules to stifle further drops only makes for artificial upside performance. We don't need these kinds of "steroids" for the game to be profitable for many. We need to get back to the basics. No phony trading rules changes to protect the companies that all but bankrupted themselves. This is a temporary fix at best.
If You Stayed Short Financials Into Today, Punishment Is At Hand
Looking at a pre-market quote for Morgan Stanley (MS) up 50%, makes me think about how much money have I left behind in my career as a trader.
Don't get me wrong, I love what we do at Dividend.com, but when the trade is that blatantly obvious, you wonder how big a day it would have been for making mega dollars.First, let's replay what was happening on that fateful day yesterday. The financials were getting hit hard again. Rumors abounded that deals were not coming together, and that money markets were in danger. But then we get the 1PM announcement about the United Kingdom banning any shorting of financial stocks. The market started to make a comeback, but nothing feverish. If you were short, you had plenty of time to react. Then we started getting anecdotes from companies like Bank of New York that things were fine, so those financials started coming back. Then came the fire alarm about the Resolution Trust -- which started to get the market hopping a bit -- but you still had time if you were short to get out with not as much harm done.
Select the service that is right for you!COMPARE ALL SERVICES
Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.
- $2.5+ million portfolio
- Large-cap and dividend focus
- Intraday trade alerts from Cramer
- Weekly roundups
Access the tool that DOMINATES the Russell 2000 and the S&P 500.
- Buy, hold, or sell recommendations for over 4,300 stocks
- Unlimited research reports on your favorite stocks
- A custom stock screener
- Upgrade/downgrade alerts
Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.
- Diversified model portfolio of dividend stocks
- Alerts when market news affect the portfolio
- Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.
- Real Money + Doug Kass Plus 15 more Wall Street Pros
- Intraday commentary & news
- Ultra-actionable trading ideas
Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.
- 100+ monthly options trading ideas
- Actionable options commentary & news
- Real-time trading community
- Options TV