Alright people, let's talk stocks.
Some of you might remember our stock-talks from back in 2009. If I remember correctly, lot of us profited handsomely by debating buys and sells. May is now almost upon us. Let's restart our discussion and make money.
This time around I am looking for good dividend stocks: MCD, PG, KO, XOM, etc. Problem is they are little bit pricey at the moment. What do you guys suggest?
@bokastic, that sounds fishy to me. I would not give out my SS# unless I really really really have to.
Cramer was talking about Coca Cola (ticker: KO) the other day, so I looked it up. Sounds like a good buy. But be warned that it is trading at almost 52 week high. It does have low Beta and trailing PE is just above 13, making the stock quite attractive for those of us who have low risk tolerance. You're not going to make much money with this one, but chances are, you will not lose too. Since Coca Cola pays dividend, this might be something for your long term retirement portfolio.
Airline stocks might be good buy for short term. Nowadays, airline companies run pretty tight ship. Last week when I flew red eye from west coast to east coast, the plane was totally packed. If red eye flights are full, I have to assume they (Continental) are doing pretty good job managing seat inventories. Plus with summer here, there will be more demand for airline seats. Only wrinkle in this picture is the high oil price. If the airline has done a good job at getting proper gas price protection and bought the gas futures at last year's price, it will be sheltered from the high gas cost. So that would be the key factor I would look for while researching these companies.
At 2 PM eastern, Bernanki will give a direction to the Dollar, That will determine where Oil, silver and gold are headed for the short term. So far the airlines are doing pretty good since i posted it couple days ago. This could be a real rebound or just a short covering. Lets watch and see what Bernanki does at 2 PM today.
If he hints nothing on when the interest rates would be raise that is bad for dollar and the airlines stocks. But good for Oil, Silver, and Gold.
No sign of raising interest rate from Bernanki. Gold, Silver and oil are soaring. Oil will create a headwind for Airlines stock but being technically oversold and summer in the near future...i am still still staying in the trade.
Buying airline stock because summer is near is the funniest stock buying strategy that I have ever heard!!
As market broke out of consolidation last tuesday and no significant policy change was announced by fed the day after, buying breakouts, pullbacks or on supports seems to be the best idea for me. Leading sectors, like industrials, energy, telecoms, where we can find stocks with potentials.
I go for the stokcs like BLC with nice chart pattern and in leading sector, buy on support, sell some on resistance. IRC is something I expect to buy on pullback.
On my watch list, BOLT, BPFH, MF
!!!_!!!
Out of all three reasons i stated, you picked " summer is near" reason to give yourself a chuckle.
Here is why airlines is a good bet.
Airlines being Technically oversold ( UAL has gained over 15% since my original post) and AMR has gained over 10% since i posted.
Gas prices may come down to 100 level ( Another reason for Airlines stocks to go up)
Airlines normally goes up right before the summer ( from the trends)
Look at today's market action...airlines are holding pretty strong when dow is over 100 points down.
Do you still think airines stock were funny??
You could have laughed all the way to the bank instead of laughing at the thread.
So what do you guys think about Renren (ticker: renn), the Chinese facebook? It IPO'd yesterday at $19.50, but is now $16.50.
My take: Sounds like a good stock to play in the Chinese market. And China being China, it has a huge market potential. However, it might be worth doing some digging and wait to see how it pans out in next few days or weeks.
@riten
I did it for a quick day trade yesterday , played the pullback on it ...nothing significant though
for a long stock ...i would probably put my order in at around 14 or less for a bounce off of RSI 30 IFF no negative news comes out....gotta be careful though even though the IPO was a success there are a lot of negatives on that particular stock with the financials and the competition and the auditor resigning ...jst my opinion though
what do u think abt FMCC ...u see it going anywhere
i'd be careful about those chinese stocks. I lost a bunch on APWR and JASO. These chinese stocks come out with a bang and plummet next to nothing. The only successful and trusted chinese stock is probably BIDU.
They get hyped out and then dumped, accounting is never transparent. Basically it has too much risk. Just look at history some of the chinese scam stocks like RINO, FUQI, APWR, HEAT, CSIQ and so on.
Cramer says stay away from Chinese Stocks and i think i agree with him on that. I do not think anyone should get into chinese stocks unless you are a really good day/week trader. They are just not a buy and hold kinds.
@tyrannyoflogic: Wow, I wouldn't touch FMCC with 10 foot pole. Way too risky for me. Its risk grade is 487. Compare that to Walmart's 57. if you want to play with it, do it with limit orders and only for very short term. But still, why would you? Though it is hovering around 48 cents, I don't think it will fluctuate much. Risk versus upside does not jive. Furthermore, even if it goes up by 25%, it will hardly cover the cap gains tax. Just my opinion.
On the other hand, I am seriously considering buying some Apple. Seems cheap. What do you guys think?
Riten,
Its hard to say where the market is headed at the macro level at this point. I would wait and see where the month of MAY puts the market. We may see correction all the way to 1300 in S&P. If we indeed get a correction Apple could be much more cheaper.
These are the tickers i have on my watch list with my expectations.
LVS ( long term...possible double from here in 2 years)
AMR ( Or any other airlines a short term trade, selling it mid summer)
JPM ( Short term to 49 - 50 level from here)
GOOG ( 600 - 650 in three months or so)
CSCO and HP for a spec play ( i think they will go up on this earning,probably very little downside from here)
MT ( over 50 in a year)
AKS ( over 24.00 in a year)
Which is the best airline stock for the short term.
Dalhhat,
UAL is best of the bread but most of the easy money has already been made on this one. It was at 19.00 a week ago now its sitting at almost 26. It has a potential to get around 28 - 30
DAL is a medium risk with a potential to get back to 14 - 15 level again
AMR is a high risk high reward ticker...it has a potential to get to 8 - 9 bucks in few months but it is also one of the worse managed airlines. I have chosen AMR for its high risk and high return prospect.
Like i said...last week was the best time to get into those names....
@riten yeah it is risky , it is an otc stock but if you are investing in stocks you are at risk anyways ........ with that being said look the FMCC chart, if it holds 0.50 then its headed towards the RSI 70 line if it breaks that then theres significant upside to it imo and the MACD is curling upwards too ...they jst posted quarterlies stating some 500 mill in profits ...compare that to some billions in losses from before ....... but they also said that upcoming quarterlies might not be good.......(i didnt get what u said abt capital gains not covering profits ........whats that abt ...)
As for AAPL, the charts dont look that good to me ...MACD curling downwards , its moving downwards on RSI abt to hit the 50 line and the sell volume on it .....i would wait for it to drop a little more cuz its jst trading sideways right now ....or they might annouce an iphone 5 who knows ....then i would buy it
these are jst technical aspects of it though ....jst my takes on it
but yeah its been really after a while that i have seen a productive thread on sajha
cheers
LEE chart is perfect rt now , oversold ,big green candlestick today
m jst watching it rt now though cuz not all the buy signals are there yet....lets see if it holds todays price
I don't know how to look at the chart and find the right time to buy or sell a stock.I can read the chart but not perfect.Can anyone tell me how to read it correctly.OR, is there any website which tell us that how to read a chart perfectly.
I hope some of you bought some airlines stock and held off on buying AAPL. Looks like S&P is headed towards 1306
Good stuff in this thread.
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