You have to pay $15 for your first checked bag, and now $2 for your orange juice, so why not go ahead a buy the airline's $5 stock while your billfold is out? At least United Airlines' stock is cheaper than that first checked bag!
Market Alert! 2008.06.23
Just a quick Market Alert to let everyone know that just before the close today I bought two airline stocks, DAL (Delta Airlines) and UAUA (United Airlines). This is risky given the freefall they have been in, but once you are down 77% (DAL) and 88% (UAUA) from your 52-week high, you are pretty much dogged out. Since they don't have an ETF for airline stocks, you will have to buy individual stocks in this case. I will buy even amounts of each for up to 5 stocks. I have a limit order in at a level lower than today's close for CAL (Continental Airlines). Given that some airline stocks were down today over 17% on oil trading a few bucks higher, I say why not put a little play money in. After all, oil has been over $130 for several weeks now, so I don't see how that is news! Airline stocks had a huge rally one day last week and that is pretty much almost been given back. If you don't mind a little turbulence (no pun intended), then get on board the airlines (oops, I did it again). Anyways, this is very risky, so if you don't have a heart to lose money in the short term (and possibly even long term if you happen to buy the airline that goes bust) then this is definitely not the sector for you. Remember, owning individual stocks is extremely risky, especially in this case. I wish someone would come out with an ETF to track the XAL Airline Index. For these two trades, I did no research whatsoever. I am just picking the airlines that are dogged out the most (except for U.S. Airways, which is down way over 90%, which makes me think something is just wrong there!).
We will know more about whether or not the airline stocks are getting ready to take off or crash later. Until then, Happy Investing!
Gregory
Just a quick Market Alert to let everyone know that just before the close today I bought two airline stocks, DAL (Delta Airlines) and UAUA (United Airlines). This is risky given the freefall they have been in, but once you are down 77% (DAL) and 88% (UAUA) from your 52-week high, you are pretty much dogged out. Since they don't have an ETF for airline stocks, you will have to buy individual stocks in this case. I will buy even amounts of each for up to 5 stocks. I have a limit order in at a level lower than today's close for CAL (Continental Airlines). Given that some airline stocks were down today over 17% on oil trading a few bucks higher, I say why not put a little play money in. After all, oil has been over $130 for several weeks now, so I don't see how that is news! Airline stocks had a huge rally one day last week and that is pretty much almost been given back. If you don't mind a little turbulence (no pun intended), then get on board the airlines (oops, I did it again). Anyways, this is very risky, so if you don't have a heart to lose money in the short term (and possibly even long term if you happen to buy the airline that goes bust) then this is definitely not the sector for you. Remember, owning individual stocks is extremely risky, especially in this case. I wish someone would come out with an ETF to track the XAL Airline Index. For these two trades, I did no research whatsoever. I am just picking the airlines that are dogged out the most (except for U.S. Airways, which is down way over 90%, which makes me think something is just wrong there!).
We will know more about whether or not the airline stocks are getting ready to take off or crash later. Until then, Happy Investing!
Gregory
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