misterchan

Dividend Aristocrats: Top Dividend Growers

Very important - When you put in the Sell order the day before the stock goes x-div, PUT THE ORDER IN AFTER THE MARKET IS CLOSED. That way, you will get the div. Also, please excuse typos. Of course, if you don't want the div., you sell BEFORE the market closes. Whichever seems like a better deal.

Dividend Aristocrats: Top Dividend Growers

To Marol - There are many ways to make money from dividend stocks besides buying and holding. Which most of the above cimments emphasize. First, check dividends in the newspaper every nite. When you find one which pays quarterly, buy as much as you can if the price has not started to go up. Then, sell the day before it goes ex-dividend. You will usually have more profit than you would have if you had held the stock on its (sometimes) downward trajectory. Or you can do what I did last week - Buy the stock when it has just started to move up. A couple of days before the x-div. date, write about 30 out of the money calls (per 1000 shares) and the day before it goes x-div, put in a sell order at the market. You will get (usually) the first price of the day, which I did. The stock has already moved down where all my calls are profitable if I wanted to buy them back, but they are very safe. I love dividends. By the way, there are times when the stock does NOT go down after ex-div day. You can spend some time each week finding div. situations and making a list. Then you can jump from one issue to the other. Right now I own some HTE (a Canadian Royalty Trust) which I have been holding for awhile, but I write way-out of-the money calls close-in right before it goes ex. Pays a generous div. The market, these days, is not a place where I feel comfortable holding anything(with a few exceptions) for very long. My opinion - When you have a profit, take it. We're not going to the moon just yet.