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My Dividend Capturing Strategy - Day 16 5/26/17

|Includes: Brookfield Renewable Partners L.P. (BEP), BPY, CHL, CWEN, DTEGY, EFC, NEWT, TPVG

Today ended with a great profit using this strategy. It was the second best day (best day - 5/16/17 +$223.98) for the three weeks into this strategy. Today, I had 4 stocks to sell and 2 to buy (sorry, I forgot to mention them in the post from yesterday but more on that later).

Here's what happened today:

1) Sold BEP (Brookfield Renewable Partners) for $31.58. The stock loss was -$109.51 and the captured dividend was $109.51. I sold it for exactly the amount of the dividend - $.47. Broke even at $0.00.

2) Sold NEWT (Newtek Business Services) for $17.15. The stock loss was -$170.00 and the captured dividend was $170.00. I sold it for exactly the amount of the dividend - $.40. Broke even at $0.00.

I can't believe that I did that once but to do it twice in one day was amazing.

3) Sold BPY (Brookfield Property Partners) for $22.35. The stock loss was -$47.18 and the captured dividend was +$101.11. This resulted in a gain of +$53.93.

4) Sold TPVG (Triplepoint Venture Growth) for $13.42. The stock loss was -$190.05 and the captured dividend was $195.05. This resulted in a gain of +$5.43.

Both of the following stocks are dividend capture plays for next Tuesday due to the Memorial Holiday:

5) Bought EFC (Ellington Financial) - 444 shares @ $16.87. The dividend to be captured is $199.80. The stock ended the day at $16.97 so I'm up +$44.40 when the market opens on Tuesday.

6) Bought NYLD (NRG Yield) - 416 shares @ $18.00. The dividend to be captured is $112.32. After I bought this stock a few minutes into the day and after a brief decline, it continued to climb and the pricing stayed stable on the way up. Rule #17 says "If stock "pops" up more than the dividend value when purchased, sell stock and don't wait for ex-date and don't collect dividend". So, that's what I did. I followed the stock closely through the day and when it got close to the dividend capture amount (+$.27), I set a sell order for $18.27. That worked out as a nice $112.32 profit for a few hours of diligence.

Here's the chart for today for NYLD. You can see that it was a nice move up today after an initial move down.

I didn't sell after it went down because it's a set up for next Tuesday and I needed to stay in it for the captured dividend.

I really prefer not to own one of these dividend capture stocks for 3+ days (over the weekend plus a holiday) but I had no choice if I wanted the dividends. The captured dividends totals over $300 so I weighed the risk and went for it.

As I mentioned in the opening paragraph, this was the best day so far. I banked $171.68 and had two stocks break-even. All-in-all, it was a weird and wonderful day!

As of day 16, I have a gain of $1,214.60 for a $75.91/day average. Still below my $100/day average goal but I'm happy for a 3 week total.

Of course, Monday is a holiday so no trading but in addition to selling EFC, I'll be trying to add CHL (China Mobile) and DTEGY (Deutsche Telekom). These two stocks will add about $357.00 of captured dividends.

Until then, happy trading!
Dan Gaskell

P.S. I would love for you to follow me as you can get all of my posts delivered directly to you. Just go here to follow me.

P.S.S. If you missed the blog post about my 20 rules for dividend capture strategy, here's a link to it.

P.S.S.S. If you missed my blog post yesterday, I gave the link to all my portfolio trades, past, present and future. Here it is again.