07-01-2020, 08:13 AM
(07-01-2020, 07:54 AM)fenders53 Wrote:(06-30-2020, 03:58 PM)Dividendwayfarer Wrote: Sold most WFC today around 30% loss in anticipation of dividend cut. I knew I got in for the wrong reason (chasing yield). Another lesson learned for me.Don't feel lonely. I avoided WFC like the plague, but I have fallen for a half dozen yield traps over the years, Averaging down when I should be running away. Pretty sure most all of the regulars have learned this lesson more than once. There may be a good time to re-enter WFC after some of the dust settles. Just have to approach it like you have no history with the stock. When the yield is double the sector average, it almost always ends mediocre at best. I don't think I've ever had a ridiculously high yielder end as a big win.
Same here. I avoid WFC and all banks for that matter. All these banks are going to have to cut dividends going forward. It’s just a sector no matter how cheap it looks always gets cheaper. I traded WFC from $24 to $31 but it was early on when just about every sector was going up on no news and short covering. But it’s a different story now.