Thursday, January 21, 2010

Bookkeeping: Selling Almost All Wyndham Worldwide (WYN)

I am very unclear why Wyndham Worldwide (WYN) is hanging in like a rock.  Whatever the reason, I am thankful - and with a potential change in market complexion here (key word - potential) I am going to sell almost the entire position (about 1.5% exposure) and lock in profits around $22.60.

This has been one of our best performers of 2009 and thus far 2010.  Reasons for selling are very obvious if you have been reading along the website for any period of weeks.  There is a huge gap in the chart created by an analyst upgrade on the 13th.  I want to rebuy this stake when that gap fills.  Or the other option is (for now) Wyndham ignores this gap, and makes a new leg up - but we'd want to see the stock clear $23.50 for that to happen.  Either way, we've secured our profit and the best course of action right now with a potential reality check by the market and an attack on our oligarchs unchecked powers is caution.

I will keep a 0.1% stake (50 whopping shares) so the stock stays on our radar and place a limit buy order at the bottom of the gap just above $20.50 which is about 9% lower than today's sell point.

Busy day!~

Long Wyndham Worldwide in fund; no personal position

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