Listed below are a few stocks that I have been trading in and out of over the past two months based on when I think shares are cheap.
Bank of America(BAC) dropped to the $10 price level today. As stated in a previous post, I sold off all shares at $17. I am waiting for the stock to hit the single digits and then I will be a big buyer again. A dividend cut is definitely coming. While Bank of America and Citigroup(C) are expected to report big losses for the 4th quarter. Wells Fargo(WFC) and US Bancorp(USB) are expected to be profitable in the 4th quarter.
Alcoa (AA) dropped to $9.50 today. I sold off all of my Alcoa shares at the $12 level because I figured the earnings would be bad. I would be a buyer again at the $7 price level.
General Electric(GE) dropped to $14.70 today. I began adding a small amount of shares again at the $14.90 level. Whenever GE gets below $15, I am a buyer.
United States Oil ETF(USO) is dipping to levels where I would look to add shares. Right now it trades at $31 per share. Below $30 I will look to add shares again.
Intel(INTC) with a 4% dividend yield at $13.57 looks reasonably cheap. I know that technology companies earnings are going to be rough in 2009 but Intel is a good long term investment. I think the stock will get cheaper still and will look to buy at $12.
