138 Companies are going to be going ex-dividend today. What does that mean exactly? Basically if you wanted to capture the dividend and collect a check... you would have had to buy one of these companies yesterday or any time before that. With Dividend Capturing you just buy the stock anytime before the Ex-date and hold it past the date of record, usually just 2-3 days. The misconception of needing to hold the stock for a year in order to qualify for the dividend is another urban legend. One of the benefits of Dividend Capturing is that you can collect as many Dividend checks as you can, up to 20-30 dividend checks can be done on a good sized trading account.
How do you pick your stocks? That truly is a good question. Do you look into the companies quarterly reports and see what is happening behind the scenes? Do you watch the stock charts looking for signals to get in or the action? There are many reasons to buy stocks and many ways of coming up with a decision on which one is right. Staring at charts all day is not my thing, neither is reading a mountain of paperwork trying to figure out what the bottom line is. As for me ... I like historical patterns. Short n sweet... if a company did something in the past they have a tendency to repeat it. Seasonality is the word they give this selective process. Certain stock do the same move year after year. It may be triggered by a seasonal trend, Christmas, New Years, Black Friday and many more. The easiest way to find these type trends is computer software. Software can be designed to hunt through the data stream and find tidbits of pertinent information to help you pick what you are looking for. The 10 Minute Trader is a system that uses this very software to find such patterns with dividend stocks.
Dividend stocks you really should have in your portfolio are the ones that give you high return and limited risk. No risk if you can find those would be great. How do you define low risk to no risk stocks? And is there such a thing as no risk stocks? Well that would all depend on what you kind of world you want to live in. What I mean to say is there are companies that are over one hundred years old. They have huge revenues and house hold named products. To top it all off these companies have been paying out higher and higher dividends to their investors every year for a minimum of 25 years. What... you think there can't be that many... Well there are over 130 of them. Not all are over 100 years old but most of them are over 50 years old and have great track records.
So... What is your plans for your portfolio? Trade dividend stocks and make a decent return or just buy and hold and beat the bankers. Trading dividend stocks using the dividend capturing strategy will get you some great return and if you get stuck holding on to some of these great companies.... you are still going to be making more money than your banker is willing to offer you. Take a look at the book Top Dividend Stocks and start investing in some winners.
Books By James
After trading stocks for over 23 years I have come up with a trading strategy that has worked for me and my friends. It's simple and takes less than 10 minutes a day. My annual returns beats the Wall St pros every year. Maybe it's time you did your own investing too.