Trading Ideas for March 29th 2021
One of the indicators I like to use to confirm and support my stock picks is the Golden Cross.
Golden Cross : A golden cross happens when a 50-day moving average for an asset trades higher than a 200-day moving average.
Pretty simple in theory, the 50 moving average is faster to respond and will may show indication that the asset is building support for a bull run.
AT&T (T)
I still hold my position in AT&T from my earlier entry in March.
- Price Entry 28.24
- Current Postion +7.9%
- Dividend Yield 6.86%
While I am already doing well with this trade, and am still waiting for my first dividend payout, I am surprised I am already up 8% in less than a month. I guess the market as a whole is still doing well along with it.
I am considering a small add to see if I can get some dividend and and share price bump in a shorter time frame.
Getting the Golden Cross indicator gives me confidence to hold my position for longer and not take the quick 8% gains and run. While it is tempting to see if I could stack 5-6 8% gainers in a year, I think the likelihood of failure is too high to make a bad trade, at least at the current investments size.
VMWARE (VMW)
- No Position
- P/E 31.62
I have been watching VMWare for as an as an option to gain more exposure to Could Solutions. While they look interesting, I have stayed away from trying to trade the band I think has developed since the Covid Crash. I typically stay away from companies that miss earnings by large margins every quarter. I will dig deeper to see if there are more indicators or reasons why VMW is more compelling
sincerely,
This post NOT financial advise, it contains my personal opinion and experience and is intended for educational purposes. Perform your own research and analysis prior to making investment decisions.