Wednesday, July 10, 2013

Catching lightning in a bottle...

Fanny Mae (FNMA) and Freddie Mac (FMCC) have both settled down substantially over the last few weeks, down from their meteoric run a few months back.  I caught a little of the magic and did pretty well, getting out before they settled too far down to earth. They're still about 100% higher than they were 2 months ago, but "past performance is no guarantee of future returns". Today they're down about 7%, and have been slowly dropping over the last month. I see them getting back in the $.50-$.75/share range within the next month or two. Bottom line, the run up was the result of headlines, but I don't think they're going to hit $60/share before hitting $.60/share.  On to other opportunities.

No comments:

Post a Comment