Financial history doesn't repeat itself, but it often rhymes. You can't be stupid enough to trade off anything I say.... I'm lucky they let me out of the straight-jacket long enough to trade.

J. P. Morgan

"Sell down to your sleeping point"

Sunday, March 15, 2009

Bill would limit loan, credit card rates

Story

Sen. Bernie Sanders, a Vermont independent, responded last week with legislation that would impose a 15% cap on rates for all consumer loans, including plastic.

He called after reading columns in which I detailed how Capital One Financial Corp. is raising many cardholders' rates to nearly 18% -- even for people who pay their bills on time and haven't missed any payments.

Meanwhile, Citigroup Inc. has told cardholders their rates could soar to almost 30% if a single payment is missed, and JPMorgan Chase & Co. said it would start charging a $10 monthly fee to those who have carried large balances for more than a couple of years.

Bank of America Corp., Wells Fargo & Co. and American Express Co. are among other major lenders that have notified customers recently of rate increases.

10 comments:

Tony said...

Looking at charts. I know you like this market and the divergences, but I'm concerned about the lower volumes this week. (Wall of worry)?

Here's the question: Is it better to be long stocks that ran up on higher volume such as MS, UL and S, or wait for them to pull back a bit now?

I have MS and S and bias to hold on now for further push upwards to next resistance.

Also looking at AXP possible short with high volume red doji Friday looks like buyers and short-coverers are done.

I don't have time to put up the charts on my site tonight.

Eric said...

ya... feels wall of worry.

I have a muscle knot in my neck the size of an orange.... Ok A plumb.

I think we are going to get a move to Teresa's trendline 50dma. Make sure you get her podcast.

but Then we will get a correction 200-300pts, then we will take a second leg up.

I can't read it right now, but seems like some of the financials are ready for a correction... or it's my wall of worry.

If the volume is flat, meaning average(and that is not average vs November), That should be bullish.

Hey T-lo made your point about the Chinese.

Tony said...

Yeah I just finished the podcast and noted her 50 dMA point. That seems like a good place for a pullback.

XLF was the only sector with decent volume... is that only because they had more shorts that had to cover?

TROW and AXP both look vulnerable here and getting close to set ups for shorts.

She said my comment about Wen and the Chinese almost verbatim, even had the tidbit about game theory. I feel honored. Those podcasts are really very insightful and entertaining.

Tony said...

Is the size of the knot in your neck an actionable quantifiable indicator? Do you use the diameter or the volume?

Eric said...

It's new... I'll keep you posted.

I think we have to go with Mass.

Yep.. Orange. for a moment I thought it was my entire back. But I'm almost lopsided because of it.

But if it goes away is that a contrary indicator?

Tony said...

It's a bummer being another year older...everything starts breaking down. The big 2-5 is tough, huh?

Eric said...

try 37.. or something... in that range..

Eric said...

So... My model says inflection points are monday and friday and the next monday.

that 800 level is still a good 3-4 days away

Tony said...

Inflection point Monday would be the start of a pullback? Then we reach 800 by Friday? Then another pullback next Monday?

I put up some charts:http://starwealth.blogspot.com/

Eric said...

well 2 models... One with a pull back starting tomorrow, and one with a pull back on next friday/monday.

the next friday/monday, would give us a chance to hit the 50dma then correct, then take another leg up.

there is a tenancy for the trend to continue on options expiration week.

The correction at the end of the week seems most probable. but there is a chance of a one day correction.

What the hell "continue" means... continue with the uptrend... Mean revert on the last 3 weeks.

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