I think other posters have addressed the dividend question pretty well already. I don't believe that TA and chart patterns are going to help many people make big money on YHOO and GOOG. I see four possibilites happening with YHOO: 1) buy-out, 2) change in sr. mgmnt, 3) turnaround story via strategy change, 4) continued selling of the stock With 3 out of the 4 (my personal bias is for #2 and/or #3) above possibilites suggesting a higher price then the current price level, I would think that being bullish from the current level makes the most sense.....granted the turnaround sceanrio may take several months...need to see increased revenue from Panama, the new search monetization platform.
I don't think yahoo will hit a major new low unless the market has a serious event ... especially with panama coming out after the holidays. I am not to impressed with the slow changes and I primarily blame the CEO. Hopefully, they will start to become more innovative and open minded as time goes by. Of course, it is always possible, if they screw up things even more, like sony. They really need to dump their yahoo auction business and use that to their advantage to make a deal with ebay. If you itching to short something, look towards the anti virus industry, with windows defender out, it could get ugly.
For people using TA, it is not about being right or wrong. It is not only about finding direction of the market, but also finding objective risks and rewards and proper position management. In YHOO, it didn't go down to 18, so what? I still got out at 23.5 from 25.15 entry. IT'S NOT ABOUT BEING RIGHT OR WRONG, but how you deal with it when it doesn't go as expected. At this point, I'm not going to look long YHOO just yet. Bottoms take a while to finish. IMHO. I used TA to get long at 418 for GOOG. TA is working fine here but I still use position management to make sure I get out at the right time.
The stock repurchase plan for Cisco is a head fake. They are simply repurchasing the stock that the management had sold into the market through stock options. In fact, the stock repurchase program at Cisco is only an expense to the company.
This is just an example since they are many ways to manage a position as exiting is a complex strategy, I think more complex than entries. I normally have 3 exits: a stop loss, a target profit, and a moving profit stop. First entry: stop loss. The trade goes against me I'm out immediately. If the trade goes my way, I move your stop in the direction of your trade. I have 2 styles: one is measuring the risk/reward ratio at all times. If a trade goes my way by two points, I stop would move the stop to 1 pt profit and let the rest move further if the market does so. basically I have 50% margin of profit. The 2nd method is moving to new pivots are the new ones appear. So in a short position, a new lower high is made then move further down, I move my profit stop to just above that new pivot. If none of these are hit until my target is reached, I exit at the target. If I get stopped out when prices move above the last pivot, the I'm out also, taking whatever profit is given to me.
And I did get YHOO @ 22.99...I liked my own advice... $COSTAverageMAN Anybody ride this swing trade.....I sold 1/4 on 11/13 and 1/2 just a few seconds ago... It's been a good ride, but may have gotten ahead of it's self... $COSTAverageMAN
I remember reading your post here back when I started this thread.. You did real good. Congratulations!
Yep. Good trade. It all comes down to money and risk management. No matter how good the strategy is, without it, no strategy will survive long. Hold the winners and lose the losers are still working today.
fyi... I'm still long YHOO. If interested, go back and see my prior posts in this thread as to my reasons....there are 3-4 posts. I'm in YHOO for the long-term, this is not a swing trade for me. Caveat: The risk reward:ratio is not as favorable now compared to when I first suggested going long. Early indications are that the ad platform, Panama, is working very well. Margins should expand. I beleive the stock is under insititional accumulation now. During the second half of 2006 when YHOO was selling off, the typical daily pattern was a small gap up then fill the gap and close down. Now, in 2007 a new pattern has emerged, frequent small morning gap downs that get filled quickly with close on the high end of the range. Volume in 2007 has been high, with steadily increasing prices. To me, it looks like institutions exited in 2006, and are now re-establishing new long positions at better prices. I happen to know a lot about YHOO, so I don't typically look at just TA.