Re: AIG

[David Wang]

I copied the rest of SIG on the email. I think we need to start looking
at discount retailers such as Walmart. Financials is looking at GS
because of the flight to quality now.

David Wang
Delta Tau Delta- Rho Chapter
Stevens Institute of Technology
Cell: 732-718-9437
dwa...@stevens.edu

thomas olsen wrote:
> OK, I expect the fill to be around 2.08 for AIG. Bought $5000. I
> sold out VMWare, its getting killed today and just going down more.
> It was down from where we bought it 16% which is more than our stop
> limit so I got out of it. To be honest I have heard nothing but bad
> news from the company so I think we should have another look into it
> if we are looking to buy it again. Apple is now down 13.8% in our
> portfolio haha. Pretty close to our stop. FYI I am going to be
> strict with the stops if it goes below 15% its coming out. The worst
> thing we can do is learn bad habits by doubling down or "wishing" a
> stop to go up. I think the market has changed signifcantly in the
> past week, and an expensive product such as apple might not be the
> best idea. Mcdonalds cheap as balls did great last quarter. Let me
> know if aynone has objections to the VMWare sale, or to me selling
> apple out if it gets below 135.50...
>
> Tom
>
> On Wed, Sep 17, 2008 at 10:17 AM, David Wang <dwa...@stevens.edu
> <mailto:dwa...@stevens.edu>> wrote:
>
> I think the time to buy is now. Check out the article below but it
> is just the opinion of one analyst. Lets sell at 4 bucks?
>
> http://www.marketwatch.com/news/story/analysts-see-some-hope-aig/story.aspx?guid={F2477D2E-22BE-4B94-B54C-7D90A71D9ADE}&dist=msr_2
> <http://www.marketwatch.com/news/story/analysts-see-some-hope-aig/story.aspx?guid=%7BF2477D2E-22BE-4B94-B54C-7D90A71D9ADE%7D&dist=msr_2>
>
>
>
> David Wang Delta Tau Delta- Rho Chapter Stevens Institute of
> Technology Cell: 732-718-9437
> dwa...@stevens.edu <mailto:dwa...@stevens.edu>
>
>
>
> Abhishek Saksena wrote:
>
> Yeah, I def agree. The only question is, when should we buy? I
> feel we
> should let the price dip for a few more days and then buy,
> thus maximizing
> our profit when the government cuts in (and the government
> will more than
> likely make AIG their business).
> - Abhishek
>
>
> -----Original Message-----
> From: David Wang [mailto:dwa...@stevens.edu
> <mailto:dwa...@stevens.edu>] Sent: Tuesday, September 16, 2008
> 10:47 PM
> To: Abhishek Saksena; Nirali S Shah; Thomas J. Zinckgraf;
> mpat...@stevens.edu <mailto:mpat...@stevens.edu>;
> wepp...@gmail.com <mailto:wepp...@gmail.com>; thomas olsen;
> Hao Yan; Jason Ng
> Subject: AIG
>
> Guys,
> I think we should long AIG because I hear there is a very
> good chance that government is going to give them a loan
> tomorrow. They cant let it fail due to the fact that AIG
> insures freddie and fannie.
>
>
>
>

[Darshan Bansal]

VMware shakes hands with cisco, whats up with that? What bad news is
there with VMWare, the entire tech sector is down....

[Hao Yan]

Anyone looking into consumers? Let me know if you are ,and we can
discuss.

--------------------
Hao Yan
mobile: 1-917-607-2530

[David Wang]

Did the Yamana deal go through? Gold spiked like a mofo today.

David Wang
Delta Tau Delta- Rho Chapter
Stevens Institute of Technology
Cell: 732-718-9437
dwa...@stevens.edu

[thomas olsen]

Yes we got in yamana yesterday. here are our long positions right now we had 5000 in each so they are doing well.
AUY    8.19      9.38
AIG     2.03      2.29

[thomas olsen]

Hey everyone, This is the link and username and password to see our portfolio in investopedia.  3 positions right now, long Yamana Gold, AIG, and short Amazon.

>http://simulator.investopedia.com/home.aspx
>
>Username: sigcpf
>
>Password: sig07030

[Darshan Bansal]

what is our stop on both these securities?

[Dan Gennarelli]

Hey guys,

Here is a video/article worth seeing. It shows a little bit about the
power of earnings estimates and the power of earnings estimates
revisions.

Article: http://www.zacks.com/newsroom/commentary/?id=8615
Video: Link at top of article

AIG
2008 EPS
Date Estimate Stock Price
2/19/2008 $6.62 $47.03
3/18/2008 $5.15 $43.67
4/16/2008 $4.29 $45.47
5/15/2008 $4.01 $39.57
6/17/2008 $3.04 $32.28
7/15/2008 $2.58 $20.64
8/19/2008 $0.20 $20.32
9/16/2008 -$0.81 $3.75

-Gennarelli

[thomas olsen]

15%.

On Thu, Sep 18, 2008 at 10:13 AM, Darshan Bansal <darshan...@gmail.com> wrote:

[Darshan Bansal]

Market is way up in the morning, being over bought? Get out by end of day?

[Perry Liu]

There are technical indicators for over bought and over sold although I've never used them and don't know where to look them up.

As an alternative to selling at the end of the day, which is what "professional traders" generally do, you can put GTC (Good Till Cancelled) stops on the positions.  Some brokers (like Scottrade) will allow you to do "Trailing Stops" so that the stops move up as the stock moves up, so instead of setting a hard stop at $120 for GS, if you set a $20 trailing stop on GS when it's trading at $140, it sets the stop for $120.  If GS were to move from $140 up to $150, the stop would reset to $130.  If GS were to move from $140 down to $130, the stop stays at $120.  As I recall, Scottrade allowed you to do either Trailing Stops in terms of both specific amounts (like a $1.50) or specific percentage points (like 15%).  Investopedia probably doesn't feature the same functionality though, so you'd have to manually reset the stop every so often as it moves up (if it moves up).

The problem with Stops and it's a big one, particularly if you have an extremely volatile stock is that the Stop only releases a Sell order when the Stop value is met, whether it meets it on the penny or it blows by it by several dollars.  The execution of the order could occur well below your Stop value and certainly will if the market gaps down severely.  That's why "trading pros" (as opposed to "fund managers" or "investors") generally close out their books by the end of the day.

[Dan Gennarelli]

You can use a stop limit.

Ex:
position at $5

Transaction type: sell stop limit
stop at $4
limit at $3
Trade will execute as a market order at any time the market is open
between the values of $3-4 but not higher and not lower.

[Dan Gennarelli]

Also if you are worried about what is happening when the market is
closed you can use a protective put which will function just as well
if not better than a stop.

[thomas olsen]

Nice work with AIG Wang.  I put in a stop sell at 3.97 to protect or gains.  Hopefully the world doesnt end this weekend.

were back up to 98,657 in the account.

[thomas olsen]

We got hit on our stop friday afternoon, and sold out aig at 3.85.  It sucks cause its 5 bucks now. It dropped 45 cents in the last 20 minutes of trading.  Anyone think we should get back in it? 

[David Wang]

I dont. I say stay out of financials until the industry stabilizes. All
the fundamental rules and strategies do not apply right now but every
week the government is coming out with new rules and regulations that
change the business. Thats just my opinion though.

David Wang
Delta Tau Delta- Rho Chapter
Stevens Institute of Technology
Cell: 732-718-9437
dwa...@stevens.edu

[Jason Ng]

I agree, it is too volatile to get in at this point.