Seeking Alpha provided the information should more or less correlate to what I believed in and which led to me taking a long position on Bank of America when it breaches its 52 weeks lows repeatedly. It is in panic moments that we need to remain calm to analyze what is actually happening. For the BAC, the onus is on the investors to prove and it isn’t an easy case for them. Seeking Alpha is actually more comprehensive than me and they did the report with no biased towards anyone. Very factual account, though my opinion would be they erred in being too cautious over the BAC liabilities using the worse case scenarios.

I only do risk analysis when I am going into shares which I feel can go on long, that includes the most recent BP. Only on long maximizes the profits but goes against my cardinal rules of not keeping any equity beyond the trading day. I must say I made exceptions quite a few times this year but mainly because of the unusual circumstances which gave once in a life time profit opportunities. BP Deepwater saga was a very good example. Bank of America is trading at 90% of its tangible book value. I don’t normally bother to analyze all these. But it is trading below its 50 day moving average about $13.50. I expect resistance when its potential is realized and the stock prices rise. That’s why unless I want a quick profit, having purchased most of the shares at the trough, I would have to hold to realize the full gains. This is not a pitch to buy or sell the BAC shares but a personal perspective on share trading. Be wary that this is not an easy share, it has a lot of shortist targeting it.

A block trade analysis shows that there is a net inflow of $200 million from institutions. I guess even though a lot are downgrading the BAC from Buy to Hold, they themselves share the same sentiments as me. I am quite curious why the main stream news sources come out with all the negative aspects at the same time. Good for me as it allows me to get the shares on the cheap. But I feel that they should be more neutral in reporting. Seeking Alpha will be a good example to learn from.