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Bret Kenwell  

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  • Sell In May And ... Buy Again? [View article]
    Yes, I log daily, but have changed my perspective a bit. I am much more active in the market than I used to be. I used to strictly channel trade (and still do plenty of it, for swing trading is pretty profitable). But with a higher trading frequency, one must stay on top of their performance daily, to see what to do differently, better entries, better exits, etc. etc.
    I actually am neutral as of now. I was holding some longs in quality names, but since we broke through so much support I have been neutral for quite a few S&P handles now.
    However! I am out shopping now, looking at the names listed above in my disclosure, and looking at MSFT, COST, T.
    I want some safe, quality, dividend paying names if I'm going to hold in the face of this Euro mess. Trading is a different game than investing, so when investing you have to choose your names more carefully.
    May 18, 2012. 12:34 PM | Likes Like |Link to Comment
  • Sell In May And ... Buy Again? [View article]
    NorthHills,

    Channel trading can be very, very profitable. One reason it's great is because when it breaks down or breaks out, you know that's it. Get out of your position. If it stays within its range, then all is good!
    It sounds like you have it sorted out pretty well, in terms of how to use divy's for income and what not, and it can do a great job for supplementing income.
    As for stop limits...all you need to do is be stopped out on a gap down/gap up and you'll probably never use them again! :) stop limits can be very important.

    I too make a list. I log my trades daily, each one with a "comments" section. This way at the end of the day, I know WHY I got into something, IF I held it to my target price, IF (and I better have) honored my stop, WHY I exited the position.

    All it can do is help, and logging trades and logging your performance is how you get better, and you can ALWAYS get better when trading the markets!

    Bret
    May 18, 2012. 10:44 AM | Likes Like |Link to Comment
  • Sell In May And ... Buy Again? [View article]
    NorthHills,

    I just checked them out...great diversity! Higher yielders, growth stocks, value plays...literally have them all. Nicely done. And if you were buying during those times, I'm sure you made a killing on a lot of your positions, in not all of them! Dividends can be/are a lifesaver. Especially over the long term, with the ability to use DRIPs, you can really compound your shares and use the "snowball effect" to accrue one's wealth.

    You don't need to catch the bottom to make a killing, as I'm sure you already know, and there's always the "shoulda, coulda, woulda!" The key is moving on. Right now I am working on a portfolio for people who get sick from all the volatility. I SHOULD have it out this weekend, but is taking me longer than I thought to accomplish.

    Over several article I have seen your commenting and appreciate your insight. The reason I tell you about my article on the way, is because I hope to gather some more insight from you over there. Hope to see you there as well, and again, thanks for commenting!

    Happy Trading,

    Bret
    May 18, 2012. 08:47 AM | Likes Like |Link to Comment
  • Sell In May And ... Buy Again? [View article]
    Lancyjay,

    Totally agree! Am I saying there is no more downside left and we're saved? Not in the least. But if you are not completely over loaded with longs right now (I hope one isn't, but the truth is I know many are), around this level is a good place to add or start positions IMO. Markets are due to bounce soon, so traders can take advantage, and investors have a good spot to add here with the S&P off more than 100 points in less than a month.

    Thanks for commenting! Happy Trading !
    May 18, 2012. 08:37 AM | Likes Like |Link to Comment
  • Sell In May And ... Buy Again? [View article]
    A fellow trader it sounds like. Glad to hear from you and good luck!

    Thanks for commenting.
    May 18, 2012. 08:32 AM | Likes Like |Link to Comment
  • Ford: Not As Bright As Some May Hope [View article]
    cino,

    Analysts are always late to the game and are pointless IMHO. Sort of like rating agencies in a way...In 2008 when they had subprime mortgage bonds rated AAA, when they all happened to be toxic and be the cause over the financial crisis.

    An analyst company is much the same. They'll have sell signals calling for the rising stock to come back to "fair value." Then, near the top they upgrade, after the stocks up 25% or something, and it's like "okay, thanks. You basically told me what they did!" I hate targets too ;)

    Thanks for commenting.
    May 18, 2012. 08:31 AM | Likes Like |Link to Comment
  • Sell In May And ... Buy Again? [View article]
    Northhills24,

    Thank you very much for your kind words! And yes, many are at that standstill as well; on whether to dive or not.

    I would advise in not diving all in, but perhaps, building a starter position. Of your three, I would most likely buy MCD. I would buy probably a half position, (so if you were aiming for 100 shares, I would do maybe get 50). and then add on any further large dips, 25 here, 25 there.

    SBUX is a great growth story, but has a bit of a higher PE ratio. I love, love, love this stock and everything depends solely on your financial and investing objectives. If things get really ugly you could see them squeezed for more, but SBUX @ $50, I like too. They have great growth in China, and I think they'll do great.

    Again, I can't make suggestions for anyone, but I like these names with starter positions only.

    Good luck and happy trading !
    May 17, 2012. 06:28 PM | Likes Like |Link to Comment
  • Sell In May And ... Buy Again? [View article]
    Jeremy,

    Either one of those things will send this market soaring...most likely. Still, not a bad price area to begin accumulating.
    May 17, 2012. 06:22 PM | Likes Like |Link to Comment
  • Sell In May And ... Buy Again? [View article]
    BlueOkie,

    Yes, sell in May is a common saying for that reason, and I am not denying any falsification there within. Also, I don't want anyone to think I'm saying go gung-ho on the market, margin out your account long, cross your fingers, and hope for the best. I'm just saying, if you're on the sidelines, right now is a good area to accumulate.
    May 17, 2012. 06:21 PM | 1 Like Like |Link to Comment
  • Sell In May And ... Buy Again? [View article]
    444,
    many people aren't even in the markets anymore from precisely this thinking! They just get crushed, swamped, and steamrolled. Say hell to the bankers and stuff their savings into the mattress.

    In 10 years adding a little here and a little there will do wonders down the road. Hang in there :)

    Thanks for commenting.
    May 17, 2012. 06:19 PM | 1 Like Like |Link to Comment
  • Apple: Short Term Turmoil Lies Ahead [View instapost]
    I originally anticipated a fall down to $550, and perhaps further, as stated above. Currently AAPL is trading 535 a share. With a high around 640, it is trading nearly 100 off the highs. I am not promoting or gloating, or anything of the sort.

    Just simply coming back on here to say, here, at these levels, with AAPL and the S&P beaten the way it is, I think a starter position in AAPL is warranted. Perhaps half of your intended position. With another quarter of your intended position to be added at 500, should AAPL reach that low. Should the markets completely fall apart, I would also add near 200-day sma, just about 450.

    Good luck to all in, or looking to get into AAPL, and happy trading.
    May 17, 2012. 12:57 PM | Likes Like |Link to Comment
  • The S&P Has To Break Out Eventually [View article]
    Thanks Real !

    It's not that I don't like to promote them, just have always felt (even before I started contributing) that stock talks is for more current topics, "like what's happening right now !?"

    I don't know, perhaps a silly way to look at it. But I will focus on promoting if it is relevant to all of us in the situation (such as the S&P support/resistance).

    But thanks for reading and commenting. And for the support ! :)
    May 17, 2012. 12:33 PM | Likes Like |Link to Comment
  • Ford: Not As Bright As Some May Hope [View article]
    Brandyjc,

    I'm sorry, your comment must have slipped through along with another one above. Again, sorry for the late reply but yes, they have a track record there. I understand they have a presence in both Europe and Asia (though Asia presence is rather small). The problem is Europe is basically in a recession and is falling apart over there.

    This is killing Ford's sales over there. So to your point, yes they have a track record there. It's just not a good time to be selling autos in Europe right now.
    May 17, 2012. 08:48 AM | Likes Like |Link to Comment
  • Ford: Not As Bright As Some May Hope [View article]
    Hey Jcirafic,

    Sorry this comment totally slipped through the cracks on me, really I apologize. Okay, how covered calls work is sort of like an extra dividend in a way. Essentially what you are doing is purchasing common stock, in this case 200 shares of F at 10.70. Then, you sell 1 covered call for every 100 shares you own, so in this case you would sell 2 covered calls.

    The goal in this is not to collect large sums of money, but instead boast/create a "dividend," as another form of income. People do this all the time and it's a great way bring in cash all year long. So in your scenario you could sell the June 11 calls, two of them, for .10, (that's how it will be listed in an options chain), or in other words 10 dollars. If you sold two of these contracts you would bring in a credit of 20 dollars. Even with fees, assuming you have a reasonable charging broker, that's still more than Ford's actual dividend.

    What this effectively does is IF Ford closes below 11 dollars on June expiration, the $20 is yours to keep. If it closes over 11 dollars a share on June expiration, your 200 calls get called away at 11, for an $80 gain.
    11 - 10.70 = .30 x 200 (# of shares) = $60 + 20 (from CC) = $80.

    There are a ton of different strategies and ways to approach covered calls, this is just one basic strategy. If you want to chat about it or learn more about them, please feel free to message me any time and I will help as much as I can, and NOT take a week to get back :) !

    Cheers.
    May 17, 2012. 08:45 AM | Likes Like |Link to Comment
  • A Relatively Safe Earnings Trade On Barrick Gold [View article]
    Amen John 2002, amen.
    May 15, 2012. 08:44 AM | Likes Like |Link to Comment
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