RE:I just sold my entire ENB positionHere is the LAST POST by the Genuine MARNER16__February 11th Marner16 wrote: I typically sell my ENB position before ex-dividend day and then buy it back when the share price quits dropping. The inefficiency in the share price for ENB happens every quarter because so many ENB shareholders refuse to sell (retail because they don't want to take the capital gain and institutions because they don't bother trading unless it is to tidy up their portfolios at the end of a quarter.
For the last 12 quarters, the share price only dropped less than $2 once. The last quarter, the drop was over $6 and the two previous quarters were both down more than $2.80. The biggest drop was at the beginning of the pandemic when the price dropped from $57 down to $33.
I don't typically get the exact bottom, but if you pay attention, you can get pretty close.
ENB trades in a cycle around the ex-dividend date with the price sagging after the ex-dividend date before ramping up ahead of the next dividend.
This time around, I won't be in a hurry to buy back in.
I don't see anything that ENB itself is going to announce in the next 6 to 10 weeks that will inspire buying. The company doesn't participate in fluff new releases so it typically packs everything into their MD&A presentations.
From a market standpoint, we are almost certainly going to see at least one interest rate hike in the next ten weeks and maybe two.
I fully expect to see Russia invade the Ukraine as soon the Olympics are over. The weather has frozen the gound enough already for the Russian tanks to move now but Russia and China are playing nice with each other these days so Russia will likely wait until after next weekend. There is very little the US or Europe can do as they have applied almost all the sanctions that they can. When Russia and China announced last week that Russia would be supply two new gas lines to China, the currency of trade will be Euros. As such, Russia has much less to fear in regards to SWIFT threats.
I think it is too early for the Democrats to start handing out goodies before the mid-term elections, so I don't expect to see Biden coming to the rescue.
I love Enbridge and I always feel a bit insecure when I'm on the sidelines. However, I'm expecting to be able to buy back ENB in the high 40's or certainly the low $50's in the next few weeks.
My strategy for ENB is certainly not for everyone. For me personally, the probability of being able to buy back at a lower price which generates significant profits is just too high to ignore. I will keep repeating the process until it stops working.