Indices are showing real strength by overcoming commentary of Italy political issues.
TAPE is extremely resilient, how we close defines bull market.
Oil UP $1.08
Gold UP $6.70
Canadian $ UP 18 tick @ 98.84
VIX Down 4.25% @ 28.58....showing real weakness here, great for UP move in market.....
Portfolio is CSIQ,MS,JCP,POT,PCLN,TLM....
@ 2.00 PM following are green :
PCLN,CSIQ,MS,JCP,POT,LVS,RVBD,MGA,
AAPL,GS,OTEX,TCK,FCX,MOS,LULU,
VMW,MA,V,GOOG,BIDU,JDSU,FNSR,CIEN,
SINA,CCJ,NYX,VAR,IBN...
BLOG does NOT give buy or sell.
Saleem
5 comments:
Hey Saleem,
My housing/lending recovery theme is not playing out as well as I'd like with BAC currently and I definitely wish I'd stayed in TOL instead. At this point, I'm inclined to stay in BAC due to the highly domestic exposure and general underweight position of BAC in most people's portfolios, but I don't like laggard stocks obviously. Do you think BAC will remain an underperformer here or can it play some catchup going forward?
Thanks for your thoughts.
Stocktrader
Hi Stocktrader,
BAC because of its mortgage exposure through Countrywide will remain challenged till end of 2012.
It has & will lag because of the above.....TOL or any other homebuilder has a very good chance of recovery in their stock price.
Saleem
Hey Saleem,
But if I like housing here, shouldn't I want that Countrywide exposure? I guess that's one of the reasons I chose BAC in the first place--the huge mortgage exposure for a housing stabilization/rebound. Given that BAC is trading well below tangible book value, I think the haircuts on these mortgages are already priced for the worst? Those were my thoughts going into the trade, but the price action has been disappointing so far--maybe 4 trading days is not long enough to allow the thesis show traction?
Doing rigorous analysis of the portfolio laggards...
Stocktrader
Stocktrader
Hello
Look at NAT the CEO was on J Cramer last night
it is best of breed-tanker
I no not like the banks at all I have held C for so long that it burned a hole in my stock account--not good
As for home builders IMHHO it is early to get on board
get some FCX --thoughts
Best of luck to all
C
Hi Stocktrader,
Book value needs to be discounted as valuation of asset may NOT reflect current reality.....
Saleem
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