September 30, 2006
Another Impossible to Catch RIMM Shot
Back in March I wrote a post about RIMM’s after-hours action called RIMM Shot Nearly Impossible to Catch. Well yesterday it did it again except this time it went from $85 to $100 instead of from $72 to $87. One company offered me a free “Crackberry” but I refused knowing that it would further unleash the obsessive-compulsive geek in me. ;-)
Cat: | Time: 10:04 am (utc+8)
September 30th, 2006 at 2:04 pm
Unfortunately I’m one ‘dummy’ who entered during market hours off the 4th 30min candle and was stopped out on the 6th.
September 30th, 2006 at 2:35 pm
Eyal: Given the extreme pace, it pays to dial down to a smaller time frame to look for spots.
September 30th, 2006 at 6:38 pm
upon the announcement the stock retreated below 85 I bought it (on the way back thru 85) and sold my position at 97 and also shorted at 97 - it proceeded to 104.5 - my stop is (97 plus my profit from 85) or 109. Trading in Rimm requires a very (VERY BROAD STOP) which is not for the faint of heart. Although I am sweating bullets - my worse case is breakeven on all the transactions.
September 30th, 2006 at 7:04 pm
My post also reminds me of the question “What R value do you put on your multiple transactions - I’ll leave that to the R folks - There was no time to even put a stop on the first transaction - I was out and short on the 2nd and 3rd transaction - within minutes - if I get stopped out at 109 - what is the R value(?) and if it goes down below 97 - how should I calculate the R value? So I am now locked into a zero loss and if it goes below 97 I’ll be ready to pull the trigger based on the trend of the market - the charts and how I physically feel at the moment. No risk of loss and any profit produces an infinite “R” value - correct my thinking. rimm scares me everytime I have traded it!
October 1st, 2006 at 8:39 am
Paul: What was the rationale for shorting it at $97?
October 1st, 2006 at 9:11 am
“rimm scares me everytime I have traded it!” Then why trade it?
October 1st, 2006 at 11:12 am
After seeing the stock drop to $80 on a surge of volume, would not a good Dummy short it at that time?
October 1st, 2006 at 5:38 pm
Andreas: Well, this is a 1-minute chart and it’s true you may have thought to yourself in the few minutes of trading after the news, hey the market is unhappy here, time to look short, but then you’d need to find a low risk spot and there were none as the stock reversed and did a moonshot … it wouldn’t take long (yes, pun intended) for a rational trader to say, hey the short side ain’t where it’s at.
October 2nd, 2006 at 8:33 pm
Paul: What was the rationale for shorting it at $97?
Good question - because i was impatient and it stayed longer at that price than the prev - on the high rise -
yes - very stupid - should have let my.
“rimm scares me everytime I have traded it!” Then why trade it?
Learning is getting thru emotions and prejudices -
I never traded Ford as I wouldn’t drive one - that’s
not the right attitude and I have missed stuff like that. Also, I would love to get Ego out of trades
but I’m still working on it.
October 5th, 2006 at 9:46 pm
Paul: Yeah, I was just thinking it was still looking up at that point so going short is a tricky countertrend proposition.