Fannie Mae-No Politics (FNMA)

[bmp152]

This is nothing but consolidation mode. Look at the chart from March to May. FNMA spiked in March, followed by a very quick sell-off (within the same trading day) and then went sideways for over a month, until when it exploded in May to over $5. This is a similar sideways pattern except our baseline is much higher.

WIth the stagnant trading volume seen the last few sessions, I believe the MMs have to keep manipulating the price to keep liquidity in the stock (after all, this is their job). I think the low volume has to do with a) fear from all of the negative press and hesitance to buy and b) people holding their current position in hopes they get a huge payday in the coming months.

I'm long and won't be shaken of my shares. With all of the mounting evidence and (slightly?) positive economic outlook, it's suggestive that gains of shareholders of all varieties (commons, jr, and sr preferreds) will be realized.

Oh yeah, almost forgot..IMO.