Replies to post #717137 on Fannie Mae-No Politics (FNMA)

[stockup_1]

Very smart man... I am out of prefs and bought more fnma at 0.782 too. Last time fnma was at those prices FNMAT was at 2.05...no Brainer. Big dumps for prefs incoming... Money will rotate into fnma. Patience.

[kthomp19]

I am. I bought some FNMA commons. JPS is up to about 10-13 cents on the dollar. Still good monies ahead to be gained. But, I chose to buy the FNMA commons because they are not apart of the Class Action....go figure

Can't blame you here. I'm not bullish on the commons' long-term prospects but FNMAS:FNMA closed at 4.68:1 today, which is near the top of its usual channel of 3:1 to 5:1.

Rotating some prefs to commons looks like a good short-term trade. I might even rotate some myself if I get up on the right side of bed on Monday, with the idea to rotate back if FNMAS:FNMA goes back to 3.5:1.