BRCM and AAPL, I am out

Just to follow up, I have exited the AAPL and BRCM trades with about close to $3000 profit on each.

AAPL is showing some weakness now, specially on Wednesday when it pullback toward the end of the day, after it had been rallying all day. I have now a long and short-term forecast on AAPL using the RET software, and I would be willing to share it with those that send me an e-mail requesting it. I maintain my target of $52/share in the short term, however, the risk/reward has been on the increase for me, so I decided to take profits and apply that money elsewhere.


BRCM is also showing some weakness, and my analysis tells me that it is now on bear mode. I close the "call" porting of the PCCRC and left the long Nov 32.5 puts (worth $800 now, or ¢25/share) until the stock shows a rebound. This is like a lotery ticket that I'll exit shortly.

BRCM has been a good case study for the PCCRC. With very little at risk (although a lot of cash was in use), we were able to make good money. The problem with this trade, as you probably noticed, is that the commissions mount quickly.

My understanding of options has lead me to believe that too much capital in directional trades can hurt you, so my directional trades rarely exceed $2000 (at least until I gain more confidence with my system - hence the 11K challenge). But in a large account, PCCRC's can certainly do better than the alternatives, with very low risk.

I will now focus on the 11K challenge, and the use of the RET software. I think it deserves consideration, for those who believe in the Elliott wave. So far, I am impressed.