Tedamerica

Banks Are Not Reaching Bottom - Meredith Whitney

o Disclosure-just wonderful.

Meredith Whitney did not say avoid bank equities at all costs. In fact she said due to the mark to model accounting rules (not the mark to market) that you should not have any short position in banks until after they report earnings. She went onto say that banks may be stronger and report better earnings then they are expected to. Case in point is Wells Fargo; I expect most banks GS, C and JPM will all break their earnings expectations.

What always amazes me about Seeking Alpha is these people submit their opinion to further their agenda. Simply amazing!

General Electric: 'Buy America' Clause Severely Limits Downside Potential

GE will drop to between $5.00 and $7.50 next week. This will be a good time for new buyers to make a good, long term investment.

10 Financial Entities On the Brink

Any chance you are short any of these?

Visa: Near-Term Fluctuations Present a Buying Opportunity

Vwinner,

I am 1400 shares long, can I join the blog?

Visa: Near-Term Fluctuations Present a Buying Opportunity

I pick up 400 shares at? I dont even know I just hit buy,,,,lol\

I take a road trip, whip out my laptop and I guess I could have expected this.

I say: SELL SELL SELL!

So I can buy more!

To those that went long on Visa, don't go emo. Don't listen to the neg vibes on this board from some people that want to knock Visa. Geez, go look at ANY chart of any good stock and you are going to see pullbacks.

I predicted this volatility a couple of days as more and more people ring the register. But the smart is either watching or holding. Once this drop levels off and it will level off they are going to pile back in sooner rather than later.

Again, don't let the neg vibes from some people on this board cause you to lose money on this great investment opportunity.

I have to get back on the road and you all be good until I get back.

Visa: Near-Term Fluctuations Present a Buying Opportunity

Hey guys I just added another 400 shares "real" shares not options or margin either, hehe. All aboard.

Visa: Near-Term Fluctuations Present a Buying Opportunity

twin - it'll pass as long as you dont do options or margin, lol.

Visa: Near-Term Fluctuations Present a Buying Opportunity

I meant to say Margin trading is less risky.

Visa: Near-Term Fluctuations Present a Buying Opportunity

Ali - I lost around 11k. It took a day to do so. There are a lot of factors involved in options. One of many include time delay. What this means is that when you buy an option, the price you pay "decays" over time; especially within the last 30-60 days. I found this out after I bought the option. It's kind of like going down a cliff. A large price run up in the stock price will effect this in that the option price goes up as well. But when the stock price goes down it's like double trouble in that option contract price (what you paid, goes down much faster). The sad thing is that the closer you get to the expiration date of the option the less value it is worth until it expires. Once it expires you own nothing. This is different than a stock where if the price goes down your loss is only paper and you still own the stock. With options you lose your entire initial investment. Unless you do as I did and sell and only lose half of it. haha.

It's even much more complicated than that. I would say it's less risky than Margin trading. With margin it's really just a loan you pay interest on. You still own the stock. The problem with Margin is you buy a stock "thinking" it is going to go up. Well it goes down and you still pay on your loan and your investment goes down. So, now you lose doubly. I guess Margin would be alright if you want to get in on a stock at its' current price and have some way to pay your margin off.

Of course the best way to do this is simply use your own money and buy a stock at a decent price and just forget it.

So, I really hope you all take something from this. Especially those of you thinking about getting into buying options. Oh, this doesn't even take into account the "nail biting stress" you endure either.

Visa: Near-Term Fluctuations Present a Buying Opportunity

Spud - haha, ya, I know....thanks!

Visa: Near-Term Fluctuations Present a Buying Opportunity

I think 90 and 85 are the top and bottom right now.

Visa: Near-Term Fluctuations Present a Buying Opportunity

Spud and User - Cashed out at .50. As they say if you cant stand the heat...haha. Oh well back to being long.

Visa: Near-Term Fluctuations Present a Buying Opportunity

Final word - I am have now officially dabbled in Options, and Margin and I am done. I will take my lick and learn from it. As of tomorrow I am selling all options and going long Visa. Fortunately for me I have the assets where it will not hurt me that bad. It is way to stressful. I would much rather know that I own a stock outright without having to pay interest or additional fee's, etc.

But hey, that's just me.

Looking forward to joining all you long guys tomorrow.

Ted

Options Trader: Thursday Outlook

Phil -

I also am going to check out your website.

Thanks

Options Trader: Thursday Outlook

Phil-

What if Visa bounces over $90 today or Monday? Dont you think that will put me back near my money?

Ted