I just sold my Goldman Sachs (GS) stock. It's a good time to exit owning stock in any financial company heavily involved in trading until the probe is officially announced and we know more about the liabilities involved. Right now I don't want to own JP Morgan (JPM), Bank of America (BAC), or any other financial company that has a large trading desk.
Just so you know, the stock market game is rigged. There are lots of little ways that the insiders can rip off the public legally. Or they can do it illegally and usually don't get caught. Think about it -- if I have a million shares to sell and I can manipulate the price by jacking it up by just $0.10, then that is an extra $100,000 in my pocket. But if I can quietly gather insider news before it is public, which is what this probe is about, then I can make large profits by entering a position before others hear about it -- and that is called Insider Trading and is against the law.
Any time large amounts of money can be made, unscrupulous people will break the law in order to get the money. That's not being cynical, that's being realistic. And the government probe is about to prove it. That doesn't mean that we shouldn't be in the game, because we can still make plenty of money, too. But before you jump into a pit full of vipers, it's a good idea to protect yourself. KNOWLEDGE is the best way to do this. I teach classes 1 on 1 over the phone about how to profit from stocks and how to protect yourself from losses. See my page on Services for a Fee on classes offered.
