Just got rid of my Wells Fargo holding. I came out with only a tiny profit (due to my bad timing on the buy), but when it's time to sell, it's time to sell. Why did I sell?
I am skittish about the state of commercial real estate, which unlike residential real estate, has yet to "burst". Knock on wood, it will not because the ramifications to the entire market is huge. If that's not bad enough, Wells Fargo itself has a large holding in commercial real estate as well, which puts me at a much greater risk exposure than I am comfortable with. Plus, the stock has only been holding lately, and yet, the dividends have been cut. So... there was simply no reason for me to stay and all the reasons to leave.
Now, mind you, I still think Wells Fargo is a solid company. It's not that. It's just that, from a trading point of view, the bottom line is, "Are you going to make money with that or not?" And the answer that I am coming up with is, "Right now, I really doubt it." So, today, at a 9-month high, it seemed as good of a time to bail as any.
Now to search for my next buy... if any. I am leaning towards either REIT or select corporate bonds. Thoughts? Suggestions?
Sold Wells
July 30th, 2009 at 03:23 pm
July 30th, 2009 at 03:28 pm 1248967691
July 30th, 2009 at 05:02 pm 1248973344
However, even if it doesn't, since that still won't translate to a lot of upside for me... as you say, better safe than sorry.
July 30th, 2009 at 05:27 pm 1248974841
With Obama's approval numbers dropping, it will be harder to get his agenda items through including a second stimulus package. And I beleive we are seeing wall street act positively to these.
With that said, if STT doesn't vlose above 50 in the next few days, I will probably be out.
I can't fault you, Wells looks to be topping. U might have put a trailing sell order on the position while researching a new purchase.
July 30th, 2009 at 07:29 pm 1248982157
I'm kinda bummed that all my dividend stocks are on a tear...would've liked to have bought and held for just a few months more. 3M looks particularly nice after buying a little bit at $45.
July 30th, 2009 at 08:56 pm 1248987413
Baselle, I should have been clearer. I would focus only on residential real estate. Actually, if commercial real estate do end up popping, then I will definitely buy. Right now though, I'm just window shopping, but will probably not buy into it. I'm also looking at home builders and aftermarkets....
August 3rd, 2009 at 02:21 am 1249266063
August 3rd, 2009 at 03:17 am 1249269432