BAC – Fade the News
August 12th, 2009
Comments
Shortly after close of market, CNBC announced that John Paulson had purchased 160 million shares of BAC. Now, what they did not reveal was the fact that this purchase was made in Q2. Who knows what he has done to those shares since then.
Regardless, the BAC shares got a 4% pop in AH. This is a brainless fade-able move. Suckers are buying BAC up at $16+ because they just came to know that John Paulson (the guy who made billions shorting the housing market in 2007) bought BAC at $6 to $10 3 months ago. Almost 20 million shares have traded AH. Very likely John Paulson has sold a big chunk of those.
