posted
I think the last ditch effort of selling the best brokerage “Smith Barney” out there is futile. They will be nationalized within a month.
Posts: 4381 | From: houston | Registered: Mar 2006
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posted
HSBC will be a single digit stock as well. They need to raise $30 billion. Great short.
Posts: 4381 | From: houston | Registered: Mar 2006
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posted
Looks like the banks are going to get rid of the bad assets after all. I'm now a buyer of BAC and C.
Posts: 4381 | From: houston | Registered: Mar 2006
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quote:Originally posted by wallstplaya: Maybe 2B shares every day for the next week will give them $35B? Hard to believe this was trading at $50.00 not too long ago.
posted
Oh well, I got my buy in at $1.45 (not a huge position) I can't believe the volume-WOW. Is this how TARP funds get spent- purchasing a couple billion shares? Anybody a expert on this topic?
Posts: 389 | From: Atlanta | Registered: Oct 2006
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quote:Originally posted by wallstplaya: Oh well, I got my buy in at $1.45 (not a huge position) I can't believe the volume-WOW. Is this how TARP funds get spent- purchasing a couple billion shares? Anybody a expert on this topic?
It's nothing complicated. there are plenty of articles on yahoo finance for C to read.
Posts: 41 | Registered: Sep 2008
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posted
Well I'm actually surprised at the RSI-I guess because of dilution due to calculated losses. Hopefully this will start moving out of the basement!!
Posts: 389 | From: Atlanta | Registered: Oct 2006
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12:47 PM ET 3/5/09 Symbol Last % Chg C 1.03 -8.85% BAC 3.27 -8.91% NYX 15.29 -6.54% Quotes delayed at least 15 minutes
NEW YORK (MarketWatch) -- The government may be concocting a stress test for the U.S. banking system, but Citigroup Inc. and Bank of America Corp. already are flunking the one the market is giving them.
Shares of Citigroup (C) fell to an all-time low of 98 cents a share in late-morning trading Thursday. Bank of America (BAC) shares fell 11% to $3.20. The good news for Charlotte, N.C.-based B. of A. is that it's still higher than its 52-week low of $2.53.
For Citigroup, the danger is more about continuing humiliations. The forces driving down Citi have been well known for days. As David Trone, Fox-Pitt Kelton's banking analyst put it, the government's recent bailout will result in "maximum dilution."
Investors have been exiting the stock in a quick but orderly fashion. Now, the financial-services conglomerate, which was once the most valuable and profitable on Earth, is facing a potential delisting by the New York Stock Exchange.
NYSE Euronext Inc. (NYX) officials did not immediately return calls seeking comment.
Citigroup is also now the nation's most famous penny stock.
Bank of America continues to fight investors' lack of confidence in its balance sheet and in its leadership. The CTW Investment Group, a lobbyist for union pension funds, on Thursday called on the bank's CEO, Ken Lewis, to resign.
"Removing Mr. Lewis is now a necessary prerequisite to restoring BAC's credibility with shareholders, regulators and the public," CTW said in a statement. "If the board refuses to remove Mr. Lewis, CTW will call on shareholders at Bank of America's annual meeting in April to vote against the re-election of Mr. Lewis."
U.S. banks are now an afterthought for many investors seeking short-term gains. The two names at the top of the list are scraping the bottom when it comes to value.
--David Weidner
-------------------- Don't fall in love with a stock! Posts: 389 | From: Atlanta | Registered: Oct 2006
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First, Citigroup (C) burned shareholders. The stock slumped in late February after the bank's offer to swap $27.5 billion of preferred securities for common stock. Thanks to relatively sweet conversion terms, investors holding the preferreds could short the common stock to lock in a likely profit. That lured in a flood of arbitragers and pummeled the shares. But now it is short sellers in the hot seat. Citi's shares have tripled since March 5. Even with shorts now willing to pay through the nose to borrow stock, the supply has virtually dried up. The result: a short squeeze exacerbated by a series of bullish comments from banking executives. Some arbs - facing mark-to-market losses and fearing that brokers might force them to return borrowed stock - have rushed to buy shares and close their positions. That has made the trade even juicer. Last Friday, one share of Citi's 8.125% Series AA preferred securities could be bought for $12, but was exchangeable for a fixed 7.3 shares of common stock worth $13. Now the preferreds are worth $13, but 7.3 shares of common are worth $22. The spread implies an absolute return of around 70% in a matter of weeks if Citi sticks to its plan. Risks include a change in the terms if, say, the government decides to take a larger equity stake. A few arbitragers are still playing. A large prime broker said Tuesday that a client borrowed 5 million Citi shares at an annualized interest rate of 120% to go short. At those rates, Citi shareholders might decide lending their out their stock isn't such a bad idea after all.
(John Jannarone is a reporter for Heard on The Street. He most recently was a reporter covering capital markets in Singapore. He can be reached at 212-416-4261 or by email at john.jannarone*wsj.com)
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Dow Jones Newswires 03-18-09 1322ET Copyright (c) 2009 Dow Jones & Company, Inc.
-------------------- Don't fall in love with a stock! Posts: 389 | From: Atlanta | Registered: Oct 2006
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posted
Wow no shares left to short, short sellers have barely no time left to cover. Man this stock is exploding through the roof with the rest of the banking sector. What a perfect storm.
The smell of a short squeeze, I love it.
But I do feel sorry for whoever shorted this stock and has to scramble to cover at this rate. God speed man
-------------------- Best Regards and Good Trading Posts: 239 | From: Florida City, FL | Registered: Jul 2006
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posted
Well ended up black candlestick at the close. Could go either way today. I'm betting on the bullish pattern again in the early market with the pre-market uptick but I think 2.60 is the benchmark today. They're talking R/S to get into the Mutual Market above 5.00 however a number of preferred shares are still going for 3.25-I imagine. It should be a good ride!!
Posts: 389 | From: Atlanta | Registered: Oct 2006
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posted
I am so upset that I slept in Thursday morning!! I missed my chance to sell my shares when it was $3.89. I paid $1.93 for them. I won't make that mistake again. I have a stop limit order placed to execute at $3.89 with a limit of $3.87.
Posts: 3 | From: Chatsworth, CA | Registered: Mar 2009
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quote:Originally posted by PJ the Slug: I am so upset that I slept in Thursday morning!! I missed my chance to sell my shares when it was $3.89. I paid $1.93 for them. I won't make that mistake again. I have a stop limit order placed to execute at $3.89 with a limit of $3.87.
This is what I see. A chance to dip below 2 is pretty slim though I will be watching to see how close it can get to 2, my radar doesn't see it dipping much below 2.5. Some resistance at 3 but that could be eaten up even in pre market - though doubtful. The heavy resistance is at 4 which was almost tested. IMO people are pretty hesitant to hold over a weekend after getting fried on so many Friday after hour shenanigans from the fdic. I wasn't watching this one very close Friday because its volatility wasn't all that great (imo) but it didn't dip like some of the others (BAC, MBI, MI). I'm a swing trader so I would be looking to break that 4 resistance and perhaps have a trailing stop rather than a stop. That $4 resistance gives then we could be looking at a decent run. Certainly keep the stop loss rules in place. Just another look and only my opinion.
-------------------- All post are my opinion. Do your own DD. Who's clicking your buy/sell button!? Posts: 7800 | From: Virginia | Registered: May 2006
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