Big day on the market

[Newguy07]

Well if you follow the market they dow is down about -250 points..


BIG down day..


Well ON the other hand I went all in on everything..


Today I bought


BAC
WFC
more KFT
GSK
SPAR
ABG


I got it all in and I am going to wait it out. In the meant time I should get a decent dividend as long as nobody cuts their dividend

[Serbonze]

Didn't you just sell your WFC holding?

[Newguy07]

Didn't you just sell your WFC holding?

I did at 32.50 or something like that but I got back in..

I said it was a good company and won't suffer the dividend lost like the other financials out there...

[Newguy07]

I also want to put more in KFT I LOVE that irene rosenfeld or whatever and what she did to pepsi and fritlo lay division

[Serbonze]

Another question, and again no disrespect intended. You are opening up to the members here so I figure that it is okay to ask a few questions.

You purchased WFC @ $28.20 and sold @ $32.20 seeing a $400 profit. Assuming you are in the 25% tax bracket you made $300.

Now you purchased another lot of WFC. In a previous post when you reported that you sold it was becauase it was "overrated".

In another previous post you talked about not trading very often (hence you would never hit the 10 free trade limit from your Zecco account).

...Also, I don't see the need to make more than 10 trades a month. If I do anymore than that I think I have a problem with my emotionals would need know why I can't stay with a company for long..

I mean why trade so often? I have already received about $100 or so in just dividend payouts alone.

You have already made at least seven trades this month that you have posted.


Again, I mean no disrespect. I appreciate the fact that you are honest with what you are doing and asking questions, but it seems that you are all over the place. It's very difficult to provide feedback to your questions without knowing your goals and your investment strategy.

[fencerider2]

I would not buy anything going into earnings, you should be short.


Saying I am going to wait it out is a Bull Shit line, it just shows your uncertainty about your trade.

[Aharon]

I actually agree with fencerider. If you are going to buy and "wait", buy and wait after the earnings are digested.

[Newguy07]

I would not buy anything going into earnings, you should be short.


Saying I am going to wait it out is a Bull Shit line, it just shows your uncertainty about your trade.

Well I believe some of these companies will provide some improvements besides the two financals in my account...


Also, I will admit I didn't take into the fact earning season. I am not trying to "time" the market.. I dont know if you would call it a rookie mistake or just somebody that is trying NOT to time the market..


Lets just say I wated till what may 20th when earning season is over. Okay. I wait but with the market it is now and how irrational it reacts it would probably take the earning season to a positive and say the rest is behind us and the market rallys

I mean you don't know how things could work these days.. It is crazy...

Also, I still have more liquidity to go in if the market does go down more.. I only put in 2k or so average in each stock..

I am heavy weighted on KFT and ABG which I believe are the guaretees... I am betting heavy on the AMERICAN and WORLD economies to rebound.

[Newguy07]

Another question, and again no disrespect intended. You are opening up to the members here so I figure that it is okay to ask a few questions.

You purchased WFC @ $28.20 and sold @ $32.20 seeing a $400 profit. Assuming you are in the 25% tax bracket you made $300.

Now you purchased another lot of WFC. In a previous post when you reported that you sold it was becauase it was "overrated".

In another previous post you talked about not trading very often (hence you would never hit the 10 free trade limit from your Zecco account).



You have already made at least seven trades this month that you have posted.


Again, I mean no disrespect. I appreciate the fact that you are honest with what you are doing and asking questions, but it seems that you are all over the place. It's very difficult to provide feedback to your questions without knowing your goals and your investment strategy.

I dont mind the questions. I open my self up on this forum. I open up discussions.


Honestly, I jumped into WFC to soon. I made money but I didn't like the financials where they are going. I still don't like where they are going that is why I just jumped into a little. I believe 28 odd is a good price for the stock. It is now at 27.9 or so now. I think that is a really good price for that company. It won't be affected from the subprime like the other banks and it most likely won't cut it's dividend I believe.

Although, the risk capital is there it is there for ALL banks. They are at the lowest levels since pre 2000.

It is going to be rough but I only bought a little of BAC and WFC...

[Newguy07]

Another question, and again no disrespect intended. You are opening up to the members here so I figure that it is okay to ask a few questions.

You purchased WFC @ $28.20 and sold @ $32.20 seeing a $400 profit. Assuming you are in the 25% tax bracket you made $300.

Now you purchased another lot of WFC. In a previous post when you reported that you sold it was becauase it was "overrated".

In another previous post you talked about not trading very often (hence you would never hit the 10 free trade limit from your Zecco account).



You have already made at least seven trades this month that you have posted.


Again, I mean no disrespect. I appreciate the fact that you are honest with what you are doing and asking questions, but it seems that you are all over the place. It's very difficult to provide feedback to your questions without knowing your goals and your investment strategy.



Also, I don't know how you track 7 trades. I dont know I don't even track that. If I go over it's $4.5 a share.. I doubt I will go over since it resets every month.

Also, I am not all over the place I like about 10-15 companies. I LOVE them but some of them aren't cheap so they are in my wish list.


I like

JPM
USG


and some others I just woke up HAHAH

[Serbonze]

You sold WFC = 1 trade

At the beginning of this post you said you just purchased:

BAC
WFC
more KFT
GSK
SPAR
ABG

That's seven trades.

Is it $4.50 a share or $4.50 a trade? I assume you mean trade.

[Newguy07]

You sold WFC = 1 trade

At the beginning of this post you said you just purchased:

BAC
WFC
more KFT
GSK
SPAR
ABG

That's seven trades.

Is it $4.50 a share or $4.50 a trade? I assume you mean trade.


Well the other trade was last months trade limit so I did 6

[fencerider2]

Newguy, do you self a favor and try ETFs. For example if you want to trade Fins use XLF.

[Newguy07]

Looks like I did alright.. S@P up 4.7%!!...

I am up 6.7% for this week with my financials really kicking in


The only two I am down is SPAR and ABG which rely more on consumer spending..

At SPAR they are going to be buying shares back... They have a back log to last them well into early 2009 and when that hits then more municpals should be making a large orders for fire engines and aumblances...

At ABG it is a car dealership that owns courtsey locally and along with the other car groups it is seeing 2008 as a decline and MIGHT pick up in the 2nd half of the year but more looking towards 2009 and forward... They have a dividend of 6.4%

[corey r.]

Just be careful at tax time. Capital gains are going to hurt!

[Newguy07]

Just be careful at tax time. Capital gains are going to hurt!


because of my income I don't think I pay anything and besides I don't plan on selling..


I haven't got into the tax side yet..


I know maybe 1% of what I need to know about taxes :lol:

[Newguy07]

I just hope that congress or whatever extends the dividend 15% tax rate. I espically like that..


Also, you only have to pay capital gains when you sell a stock correct? If you keep it through out the whole year and more you don't have to pay it correct?

[Serbonze]

I just hope that congress or whatever extends the dividend 15% tax rate. I espically like that..


Also, you only have to pay capital gains when you sell a stock correct? If you keep it through out the whole year and more you don't have to pay it correct?

Incorrect. If you sell a stock within one year of the purchase date it is taxed at your normal marginal income tax rate, it is considered income. If you hold it for more than one year, it is considered a capital gain and is a 15% tax.

You need to watch for the end of year short and long term capital gains that are paid out on your 2045 Retirement fund. You probably have chosen to reinvest all dividends and capital gains, but even if you are not taking the cash you are still taxed.

****Incoming off topic comment****

Obama has said that he would like to raise the capital gains tax to 28%. :(

[Serbonze]

...and besides I don't plan on selling..

...I know maybe 1% of what I need to know about taxes :lol:

You keep saying that, that you want to buy and hold but you have posted about several sales!

You should read up on dividend and capital gains taxes, especially if you are going to actively trade equities. You are going to need to report this activity on your Schedule D, and if you really need to monitor your sales for tax efficiency. Every time you post saying you made $xxx.xx by selling a security, that is considered income.