In case you are following my trades, today, on 09/30/2008, I sold 100 GOOG at 412 dollars. I made 5.4% on the short-term trade. GOOG may go higher, but every wise investor's primary rule is, "Don't be greedy." Or, as Cramer says, "Bulls make money, bears make money, pigs get slaughtered."
Now I have to go figure out what is going on with Cypress Semiconductor (CY) shares. I know they spun off Sunpower, but Yahoo Finance is showing that CY shot up over 60% post-spinoff. I had some CY shares and bought more AMAT yesterday because it appears Obama will win the election; if so, solar power companies will benefit from his tax credit/subsidy plan. Even so, CY, the stand-alone semiconductor company, increasing 60+% (according to Yahoo finance) seems strange and incorrect.
More on the CY spinoff here: http://www.thestreet.com/story/10440059/1/a-wacky-debut-for-cypress-semi-stock.html
Update: I am now the proud owner of 17 shares of SPWRB. Spinoffs are always nice, especially when they are in tax-deferred accounts. Calculating a basis for spinoffs come tax-time deserves its own level of hell in Dante's Inferno.
Update: GOOG According to Yahoo finance, Google stock closed today at $320.50/share, but something fishy is going on. In after-hours, GOOG is trading at $413/share. Meanwhile, Google's finance page shows a closing price of $342/share. Thus, we have three different prices for the same stock. I always think some major player (Gordon Gekko reborn?) is manipulating shares somehow when this kind of discrepancy occurs.
Inefficiency happens more frequently than people would like to admit. For example, when I placed my trade to buy 100 shares of GOOG at a market price, I bought shares at $391--even though immediately before the trade, and immediately and at least a minute after the trade, GOOG shares traded around $388. Someone pocketed (stole?) the three dollars. Multiply that by thousands and millions of shares traded daily, and you can see that someone is making massive amounts of money.
"And if an epitaph be my story, I'd have a short one ready for my own: I had a lover's quarrel with the world." -- Robert Frost
Showing posts with label GOOG. Show all posts
Showing posts with label GOOG. Show all posts
Tuesday, September 30, 2008
Monday, September 29, 2008
Google a Short Term Trade?
On September 29, 2008, I bought 100 shares of Google (GOOG) at around $391 per share and may buy more tomorrow. I am optimistic that once the bailout package is re-worked, it will be passed on Thursday, and the overall stock market and Google stock will increase.
Google has several short-term catalysts:
1. The Google phone (the T-Mobile HTC G1) is set for a timely launch; the iPhone craze has subsided, allowing consumers to notice a competing product; and for now, the G1 lacks any problems, such as the launch problems Garmin (GRMN) is having with its nuvifone.
See U.K. article below for more information on the G1:
http://technology.timesonline.co.uk/tol/news/tech_and_web/personal_tech/article4830543.ece
2. The U.S. Antitrust Department should not interfere with the Google-Yahoo deal. Jeff Jarvis has an excellent article on this issue:
[T]he problem with going after Google is that - unlike typical monopolies - it didn't steal its booty like a pirate in the night. It didn't win by being closed and proprietary. Google won by being open and distributed - which is not the image of the monopolist.
(from http://www.guardian.co.uk/media/2008/sep/15/digitalmedia.google)
3. As stated above, the House will pass a revised bailout bill soon, and the market should jump at least 200 points on that day. Short-term volatility will favor companies unfairly beaten down by the financial sector, such as State Street Corp. (STT), which didn't directly invest in subprime, and cash-rich companies, like Google (GOOG).
On a side note, when I bought the Google shares, I placed a market order rather than a limit order, causing the trade to execute at 391 rather than the lowest available price (at the time) of 388. Remember: when trading in volatile markets, place a limit order.
The information on this site is provided for discussion purposes only and does not constitute investing recommendations. Under no circumstances does this information represent a recommendation to buy or sell securities or make any kind of an investment. You are responsible for your own due diligence.
Google has several short-term catalysts:
1. The Google phone (the T-Mobile HTC G1) is set for a timely launch; the iPhone craze has subsided, allowing consumers to notice a competing product; and for now, the G1 lacks any problems, such as the launch problems Garmin (GRMN) is having with its nuvifone.
See U.K. article below for more information on the G1:
http://technology.timesonline.co.uk/tol/news/tech_and_web/personal_tech/article4830543.ece
2. The U.S. Antitrust Department should not interfere with the Google-Yahoo deal. Jeff Jarvis has an excellent article on this issue:
[T]he problem with going after Google is that - unlike typical monopolies - it didn't steal its booty like a pirate in the night. It didn't win by being closed and proprietary. Google won by being open and distributed - which is not the image of the monopolist.
(from http://www.guardian.co.uk/media/2008/sep/15/digitalmedia.google)
3. As stated above, the House will pass a revised bailout bill soon, and the market should jump at least 200 points on that day. Short-term volatility will favor companies unfairly beaten down by the financial sector, such as State Street Corp. (STT), which didn't directly invest in subprime, and cash-rich companies, like Google (GOOG).
On a side note, when I bought the Google shares, I placed a market order rather than a limit order, causing the trade to execute at 391 rather than the lowest available price (at the time) of 388. Remember: when trading in volatile markets, place a limit order.
The information on this site is provided for discussion purposes only and does not constitute investing recommendations. Under no circumstances does this information represent a recommendation to buy or sell securities or make any kind of an investment. You are responsible for your own due diligence.
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