I had closed my position on March 19 after a fairly sharp price reversal the prior day. That turned out to be a very smart move -- on March 23 the company announced it was reducing its dividend.
| trend | adx | psar | pps | macd | macd trend | sto | sto trend | |
|---|---|---|---|---|---|---|---|---|
| NLY $18.18 |
Getting out allowed me to avoid a 3% gap down (36% annualized), and re-enter at a lower price.
NLY carries a 16.49% annual dividend, payable quarterly.
My reentry today was at $18.18 per share.
The technicals, it must be said, are pretty bad. But my theory is that it's due almost entirely to the news-based gap down, and so will switch back to a more bullish profile in fairly short order.
Disclaimer
Tim Bovee, Private Trader tracks the trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.
No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decision decisions for his or her own account, and take responsibility for the consequences.
No comments:
Post a Comment