City (C) hit our target @ $2.53 (24.6% profit in 3 days)

City hit our first target @ $2.53.  I sold 50%  at this price for a nice profit (24.6%).  I’m planning on selling the next 50% at $2.75, and trail with a stop at $2.33.  If you remember, I bought City at $2.03 on Friday, February 20, 2009.  Not bad for holding it for 3 days!!

Financials in my portfolio are having a banner day …. BAC, WFC, UYG, MS and C – all up nicely.

I’ll post today’s market recap and tomorrow’s picks shortly …

Hope Begins Next Week (2-23-2009)

 What  a week we had!  Bodies battered and bruised mercilessly during the holiday shortened President day week. 

Toward the end of the day on Friday, some sanity appear to enter in to the market with some rebound in banking stocks.  Bank of America (BAC) almost made all the way back in to the green after losing  around 30% and hitting an all time low of $2.53.  City (C) tried to do the same, but was not that lucky.  BAC and C combined, traded an incredible 1.4 billion shares!!  Amazing. 

When City hit $2.00 soon after open in the morning, I thought it will find a temporary halt at Around $1.90.  So, I bought some C at 2.03.  It held around $2.00 for a couple of hours.  Then came an idiotic comment by Sen. Dodd that Nationalization of banks would be an option.  Soon, C started dipping down rapidly to $1.60.  I thought I would bail out, but held on.   Then came the white house announcement around 2 PM, and banking stocks started rebounding …. Toward the end of the day, my City shares ended in a little green.  I decided to hold the shares over the weekend and gut it out on Monday.  I expect a good 10 to 15% rebound within the first hour of open in C, and will follow with a tight stop to preserve some profit.

Currently I also own MS, WFC, and NLY … These are good value plays with good dividend.  WFC took a beating last week, but will rebound when this Nationalization rumor is put to rest next week.  I like this stock and recommend adding for a quick 15 to 20% profit target.

Next week will be a turning point for the market.  President Obama has started talking positive and this should bode well for the market recovery.   Get ready for a good bull run.

I’m betting on Banking stocks to have a nice rebound.  I expect them to open with a nice positive gap at open. 

You may pick any banking stock, but I think C, BAC, WFC or UYG should give you a better bang for your buck.