LATEST ARTICLES - PAGE: 8

It's known as"dividend catch".This strategy is implemented when a dealer buys a stock just prior to the ex-dividend date, so he or she'll be a shareholder of record on the record date, and will get the dividend.Since the stock falls by the amount of the dividend on the ex-dividend date, the plan calls for the dealer to then await the stock to return to the cost where he or she purchased it before the ex-dividend date...

AFTER THE SPLIT ANNOUNCEMENT - Quite often, the inventory will create a pattern of falling back three to ten days following the announcement.This provides you with a chance to benefit from the split announcement.If you're playing calls this is when you purchase the things that they call" dipping undervalued calls".Many times you'll have 2-4 chances to produce this play before the inventory actually splits...