BRCM has done well during my vacation. At this point, I feel no pressure to do much, although the trade has given me a 34% return. I remain bullish as the stock hits new short-term highs, and Vega remains low. Delta has given me most of the profits here. At 911.99, Delta is high indeed, but since the stock recently jumping high volume, I want to stay bullish.
AAPL rally as I expected, and the previous high is being tested. I believe AAPL will go through the resistance between 44 and 45.
6 comments:
Hey:
Welcome back... Hope you had a great vacation.....
I am going on a trip in two weeks.
Real
About Jim Cramer
http://www.optionetics.com/articles/article_full.asp?idNo=12890
I am not that convinced that Cramer has such influence at all, and it woud be dangerous to take his comments as gospell of the street.
It does amaze me that he seem to have knowledge about so many stocks. Then again, that may just reflect a very superficial knowledge, and as we say in the scientific world, a little knowledge can be dangerous. BTW, isn't it that the case for options knowledge too? beginers can lose their whole accounts very quickly by just believing the wrong gurus.
Having said that, since Cramer has had his show, investors seem to be more freely bullish, and trades have been more rewarding, as the movements have been stronger in the stocks I have been trading, anyway.
Take Cramer comments as a start, use Elliott wave analysis and/or fundamental analysis and enter trades carefully, since what Cramer says may not be supported by actual company results.
Incidentally, Cramer was bearish on AAPL when I entered my trade a month ago, and he was bullish on BRCM. Perhaps the thing to do is to apply PCRCC which would work well even if the stock is a high flier. As we say in Venezuela: "I don't believe in wiches, but surely they fly" in another words, you don't have to believe in Cramer's calls, but you can still benefit from the hype.
Juan,
I would have closed the trade on 22 July when BRCM hit a peak of around 44.8 on the morning of 22 July, taking a profit of around 50%.
Would you do the same or made an adjustment to lock in the profit ?
HK
Juan,
Missed this in my previous comment:
I mean if you are around to watch the market, what would you do ?
HK.
HK, I have learned the hard way that it is a bad idea to leave profits on the table. If you took profits, you are in my team. I have a problem with people that beat themselves for getting out too early. If you have no reason to stay on the trade, why do it?
Having said that, I have been using the RET (Refined Elliott Trading) software which I am demoing right now. I have important considerations regarding the BRCM trade, which I will discuss in my next blog. I have been very impressed with the program, look for my next posts.
Post a Comment