The problem with div's at the moment is that the market is falling faster than the amount the div will return. And then the price will drop after div date, and the market will still be falling.... loss compounded on top of loss..
Printable View
The problem with div's at the moment is that the market is falling faster than the amount the div will return. And then the price will drop after div date, and the market will still be falling.... loss compounded on top of loss..
There certainly are a lot of nervous twitches on the market today. People are trying to get in on the "recovery" but it actually looks like some players have other ideas and are still selling down.... people only think its a recovery because the heavy selling has turned into a slower more controlled and considered selling... It could turn into a rush to the top, but it could also turn into a hasty emotional rush to the top and over a steep edge.
MEL falling since end of April
CEN falling since February
GNE falling since March
Dont get caught on the downhill ice slope.
Depends on your investment timeframe.
I bought CEN a few weeks back and I'm 13% up with a 2.8% divvy on Monday
I bough MEL 3 days ago and I'm 5% up with a 5.5% divvy next month
I bought GNE a few weeks back and I'm up 6% with a 4.4% divvy in Oct
I figure the market is captive, stable/growing, based on making/selling a necessity of life and with government owning 51% of MEL and GNE the comcom will steer well clear
So I see the glass as half full (hope it doesn't turn out to be half empty and falling)
Excellent timing on the buy-in's, I wish you well.... I dont need to tell you to keep a close eye on the market, and remember that the prices will fall after div day by the amount of the div... hopefully the market will "actually" be in recovery by then and this correction just a scene in the rearview mirror.
Personally Im sidelined till I can tell what is trending and what is just faking it. {Technically still holding Div-payers.. but presently out of Growth's as they... are not)
Looking at the history file the downturn started about 5th-7th of August.. well before the "correction" ... lots of sudden moves to sell-off..hmmmmm. Think Ill run the neural net over the market and see just how many started making alternative positions beginning of August... perhaps do the US as well, might be interesting to see what patterns emerge.
.
Not much of the underlying factors has actually changed in the last week from the china crash. Sentiment maybe? But that can change in a heart beat. The interest rate cut has only delayed and made the problem worse. Was in MEL from IPO, initial plan was to hold on to this year's divies, but figured the herd would do the same. Changed plan and cashed up. Was a good run till now. Will keep an eye out for when it really does become cheap again.
What do you think of coincidences. Especially ones that display "significant clustering within a certain time period... my maths tutor used to say if the same things happen twice its a coincidence, if it happens three times there's something more to it, if it happens four times... that's no coincidence, start looking for the root cause...
AIA August 5-7
AIR August 12
ANZ August 7
ARG August 7
ATM August7
CEN - doesnt follow trend
COA August 14
CNU August 3
DIL August 5 correction till aug10 then back down
EBO July 29 then again August 7
FPH August 7
FBU August 6
FRE August 6
FSF August 7 massive rise then the weekend then trough till 20
GMT August 3
GNE August 3-4-5-6 Multiple days of concentrated sell off
HNZ August 6-7
IFT August 6-7
KMD August 6-7
KPG August 5-6-7
MEL August 4-5-6-7
MET July 22
MFT August 11
MPG August 7
MRP August 3-4-5-6-7
NPX August 7
NZX doesnt follow the trend
OHE August 4-5-6-7
PCT doesnt follow the trend
PEB August 13-14
PFI August 7
POT August 3-4-5-6 decline/recovery
RBD August 7
RYM August 7
SKC August 5-6-7
SKL August 5-6-7
SKT August 6-7-10
SPK August 3
STU August 6-7
SUM August 6-7
TME August 7
TPW August 13 outside the timelines but before the correction
TWR August 19 outside the timelines
VCT August 7
VHP does not follow the trend, recovers starting aug7
WBC August 6-7
WHS August 7 correction to its own peak, does not follow the trend
XRO July 30 then an increase in downward pressure
ZEL August 7 goes flat aug11-12 correction
apparently some people knew the news before others were allowed to...
Dont use Opera browser as it does not have the capability to display Flash application live graph. Use Firefox or the Windows browser
Go to google.com/finance
Top of page right beside the Blue/red/yellow colored Google logo Type into that search box NZE:??? where ??? is the stock code eg NZE:AIA
the : is required
This opens a Flash based graph of the price movements, At the top of the graph is a line displaying 1d 5d 1m YTD 1y 5y time displays
Use the 1m icon to select 1month of data display
Or use the mouse and click on the graph and scroll the mouse wheel manually to adjust the time-frame displayed
Look at/around the August 7 date...
Im presently looking at the US and then the UK markets to see if there are similar patterns
http://infinitas.co/img.lib/00-mkt.jpg