Ok, here’s the plan in regards to my [[MER]] and [[SKF]] shorts:
- BAC will go down tomorrow -> SKF will be up as BAC is one of its largest components -> I will short more SKF
- MER should also be up -> I will short more MER
- Then, when the truth about the “deal” comes out, I will cover SKF and MER
Here’s the rationale: I’m betting that this deal falls apart or turns out to be crap. Everyone’s only seeing the $29 number, not the fact that it’s a stock swap and is probably just a manipulation tactic… once again.
They had been spreading the buyout rumours about LEH before the fall, and everybody got wise to them. Now they have to make it look real, and just rumours won’t cut it this time. So let’s pretend we have a deal…
That’s my game plan. What am I missing?
P.S. I have to say, so far in regards to the stock market, events that I was 100% sure had to happen, do not happen. Next time, if I’m 100% sure in my stock decision, I will avoid that stock or do the opposite. It’s never easy. If it is easy, it’s an exception to the rule. Duh.