Stock Traders Blog

I post on Yahoo message board yesterday that BAC would advance together with other big banks today. It didn’t happen although other big banks like JP Morgan, Wells Fargo and US Bank Corp were indeed bid up by investors. Their closing price on last trading were proven to be attractive to many investors. They opened higher even before the better than expected consumer sentiment news.

However there was too much selling pressure on Bank of America. I lost patient and unloaded 2000 shares at $11.05 and unloaded another 2000 share at $11.10. In the mid of the day after I sold all my BAC shares its price ever went up above $11.20. I regret I sold but felt I took the right move when I saw how it closed. It seemed to me investors were not buying into the upgrades on Bank of America and they all viewed it as an opportunity to sell. The idea of more than 500 million new shares offered at $10 was not so easy to be digested in a few days. I thought about the scenario that people were going to take profit tomorrow on other big banks following today’s big run and decided not to keep BAC. The chance that Bank of America going further down tomorrow would be big

I did some trades back and forth on US Bank Corp after I sold Bank of America and at the end I maintained 300 shares of short position on USB which I entered at $19.04. I felt a run up of 6.5% was too much and I hope it will retreat a bit when it opens tomorrow morning. At the end of the day my account was up $133.84. It is really not an exciting day.

Added at 3:20PM
I looked at Bank of America’s price and thought it might be a good idea to buy some shares. So I bought 600 share of BAC at $10.94. I am thinking tomorrow if the banking sector tanks I will add some more BAC and take profit on USB. If the banking sector continue to advance I don’t think BAC will be left out again. We will see tomorrow.

Account Balance Change: +$133.84

Related posts:

1. I am Convinced to Long Bank of America
2. Which Direction is Bank of America Going?
3. Bank of America Earning Forecast and Financial Statement Analysis
4. Bank of America Prefer to Common Share Conversion Deadline June 24, 2009
5. No one Understand Bank of America’s Book and I Hold Shorted Position For The second Day