Research in Motion Update
Friday, September 14, 2007
One week ago I picked Research in Motion (NASDAQ: RIMM) as a potential swing trade. I said to wait until the stock pulled back to its support level around $77 - that never happened and I never made the trade. The stock rallied every day since I made that call and now its bumping up against resistance at $87. The volume is much lower than average today and I'd like to see more volume before I call a breakout confirmed. I'm still watching this stock because I think it will make for an interesting swing trade around their earnings announcement. Expectations are getting unsustainably high and a lot of upgrades are already in. I expect to see implied volatility (IV) peak the day before earnings and I'm coming up with some put spread ideas to take advantage of IV. Stay tuned!
Posted by Rob Pitingolo 3:41 PM
Labels: Research in Motion
