Northern Rock - Shares [Merged Threads]

[Deleted User]

Your right rhino, the big boys are one step ahaead. They can even employ computer controlled selling patterns while selling short to trigger peoples stop losses.

The big boys love it when theres a lot of attention from private investors/large trading volumes, as they take the cash out of the system

For the small investors day trading is not usually the best option. Although I must admit I bought A+L at 7.50 sold at 8.30ish in two weeks and netted a grand which is what id clasp as day trading. But the swings proved too tempting at the time, they were swings that a small investor could make money out of.

Most of the stocks I have at the moment im aiming for 2years on them before i sell. Just waiting for the economy to collapse so theirs a bull run on defensives

Rhino666

Yant1, I think you would agree that private investors dealing in individual shares is a frustrating business that can lead to huge losses, huge gains or more than likely modest gains with frustrating peaks and troughs over the medium to long term.

I have been dealing in shares, generally unsuccessfully over the last 20 years or so and my my best advice to private investors is to take the stress out of stockmarket investment by investing in funds.

The FTSE100 has done well over the last 4 years or so but remember stocks leave and join this index, so much of the impact of complete loser shares is lost and the big risers are cherry picked for the index.

It is tempting to gamble on second guessing the market but doing this successfully is a job for a clairvoyant - previous holders of Railtrack, Marconi, the old British energy, etc will tell you that. Human nature tells us to do things that don't work with shares - I think someone who can shut down normal emotive reactions and only react logically may have a chance. Most of us who think we know a little about what we are talking about will continually ignore our own good advice :-)

Best of luck

isofa

Apparently Virgin are also considering a bid for NR, ultimately rebranding it into Virgin Money...

Story on the FT site:

http://www.ft.com/cms/s/0/8751ef78-7890-11dc-aaf2-0000779fd2ac.html?nclick_check=1

Rhino666

I hope that some of you with NRK shares managed to sell at higher rates before the massive drop today. I had a stop loss limit of £2.60 but it failed to kick in so having to ride out the 21% fall :-(

I am guessing that the reason for the fall is a realistic sale price at this moment in time - unfortunately I think that any bid will be around the £2 mark. Was hoping that NRK could have weathered the storm and rebuilt their credibility - if they could survive I reckon the shares could quickly recover to around £4 but that looks unlikely at the moment.

Anyone who sold on Friday deserves a pat on the back. I had a sell limit of £2.80 and I think it got to £2.75 - bloody typical !!

Browntrout_2

Rhino666 wrote: »

Lets summarise the facts here....

1) Northern Rock is not insolvent
2) Northern Rock will not be allowed to fail
3) Takeovers opportunites for scavengers are not straightforward in this case
4) Company assets worth more than current share price

I can see that the knife may well still be falling as far as the share price is concerned and a return to £12+ is going to take some time. There is however a fair chance that when things settle and the queues go home, the share price will bounce back to £5 - £7. This could take a few months though :-)

A sell order at £2.80?? , what changed since you posted above Rhino666?

IMHO these shares still have good chance of losing 100% of their value, regardless of your buy price, you can lose it all.

ormus

i still think a price of between 2 and 4 quid is the likely takeover bid/sale price.
i really thought at the upper and of the scale, but the market seems to think otherwise. at the moment of course!

Rhino666

Browntrout wrote: »

A sell order at £2.80?? , what changed since you posted above Rhino666?

IMHO these shares still have good chance of losing 100% of their value, regardless of your buy price, you can lose it all.

bit harsh Browntrout - I am often wrong but most of what I have posted on this share hasn't been far off the mark - or have you conveniently missed my other posts ?

I bought at £1.52, another post you didn't read apparently and would like to have sold at £2.80 to secure Yant1s profit margin - best laid plans eh.

My advice was not to buy this share - as usual I ignored my own advice :-)

Browntrout_2

Apologies Rhino666 if you took my post as a criticism, it was not meant to be personal.

I had not read every post on this thread and did not realise you had advised against buying. On that we agree.

As I said 'the sound of discarded barge poles is deafening'. The SP was down 90% at one point, not many shares recover from that with resistance all the way back up as people look to exit.

It was looking better for few hours last week as looked like breaking 300p, now I'd say 100p was the next target.

Generally this is history in the making, a high street presence, once proudly in the FTSE, floated successfully years ago, 5th biggest bank, etc etc, and now reduced to the realm of day traders, where it rises and falls 10 to 20% some days as the market tries to value it with speculative day trading; vulture funds and opportunists (e.g. Branson).

gt94sss2

The Economic Secretary, Kitty Ussher, today announced that the Government would allow people who during the recent financial market disruption withdrew cash from Individual Savings Accounts (ISAs) held at Northern Rock – and in the process lost their tax advantages – to re-deposit that money into a cash ISA with Northern Rock or any other provider, restoring their tax advantages.

Kitty Ussher said:

“To ensure that Northern Rock ISA savers are not penalised by the financial instability in the market. I can announce today that in these exceptional circumstances, the Government will allow the people affected to re-invest their money into any cash ISA, including Northern Rock’s, and thereby restore their tax advantages.”

Savers wishing to restore their lost cash ISA tax advantage must by 5 April 2008 either:

a) return their funds to a Northern Rock ISA, or
b) obtain from Northern Rock a certificate for the amount of cash ISA savings withdrawn between 13 and 19 September, and present this to a new cash ISA provider when depositing the money.

This announcement applies to funds withdrawn from Northern Rock ISAs between Thursday 13 September and Wednesday 19 September inclusive.

More at http://www.hm-treasury.gov.uk/newsroom_and_speeches/press/2007/press_110_07.cfm

Regards
Sunil

Browntrout_2

Bids in for Northern Rock today. I think these will leave zilch for shareholders.

I just tried to short NRK, the transaction was cancelled, the broker is only taking orders to reduce existing holdings.

I think these will open through the floor on Monday.