FNM FRE , seems those scummy shorts might have been the problem
- Thread starter stock777
- Start date
This will actually be very interesting. I say it is too soon to judge the situation - 3 days of short covering isn't enough ... If after 2 months it is still stable, then I agree with you.
If the fundamentals continue to weaken but the stocks hold up (unlike the past few weeks up to this point), that points to the fact that we may never see an elimination of the uptick rule return. If indeed true, this might point to hatch quite a bull market after this cycle troughs.
The US Government is the sleeping 800 lb Gorilla on Wall Street. Usually, they turn a blind eye and doze off when it comes to the Wall Street hooliganism.
However, when Uncle Sam finally wakes up then thats when the magic happens.
In this case, Uncle Sam has decided to stand behind these purely American institutions. Now the 800 lb Gorilla is in the room and fully awake.
Even at the current price levels, FNM and FRE are still bargains. They will trade at 2006-2007 levels in a matter of a few years. This is the 10-bagger that will happen and there are not that many traders or funds who can make 10 times their money in just a few years.
Get on board, stock on sale!
However, when Uncle Sam finally wakes up then thats when the magic happens.
In this case, Uncle Sam has decided to stand behind these purely American institutions. Now the 800 lb Gorilla is in the room and fully awake.
Even at the current price levels, FNM and FRE are still bargains. They will trade at 2006-2007 levels in a matter of a few years. This is the 10-bagger that will happen and there are not that many traders or funds who can make 10 times their money in just a few years.
Get on board, stock on sale!