National Australia Bank (NAB) Technical Update

Submitted by Jim Thesiger on 20 May, 2008 - 15:46

National Australia Bank (NAB) has a particularly strong result in cost control and therefore an excellent operating performance from stockmarket analyst Macquarie Research Equities.

National Australia Bank (NAB): Dividend Yield Play – 10 Days to Go!

t’s bank dividend season again, and NAB follows ANZ and WBC this year with a $0.97 fully franked dividend, going ex-div on Friday 30th May. If you are looking for a high dividend trade, the following Dividend Yield Play strategy for the upcoming NAB dividend could be an interesting trade idea. .

NAB’s recent report surprised the market on the upside and was characterised by a particularly strong result in cost control and what was generally viewed as an excellent operating performance.

Traditionally stocks tend to rally into their ex-dividend dates, and as such it can be worthwhile getting in early on this strategy.

Source: IRESS Daily Chart

Using warrants for Dividend Yield Plays (DYP’s), has long been a favourite strategy for warrant investors. It allows investors to utilise the leverage available through warrants to potentially increase their dividend yield to potentially above the level possible using the underlying.

Full details of how to implement DYP’s and things to be aware of can be found on the ASX website below;

http://www.asx.com.au/investor/warrants/index.htm

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