Sell Short: Research in Motion (RIMM)
http://www.setthestageforsuccess.com/articles/13860/1/Sell-Short-Research-in-Motion-RIMM/Page1.html
Steven M. Goffner, MBA
Steven M. Goffner, MBA has been an Accounting, Finance, and Business Management Professor since 1982. He is a former Finance Coordinator for The New York Stock Exchange and educates the public about common-sense methods for investing in stocks. His articles appear weekly on http://WallSt.net for premium subscribers.
By Steven M. Goffner, MBA
Published on 07/28/2008
I am putting out a sell short recommendation on Research in Motion
(RIMM- NASDAQ) this morning. This is a medium risk play in which you
can enter this trade once the stock closes below the 7 day moving
average (approx. $115). This stock has been steadily trending downward
since it reached a high price of $147.50 on June 23rd and has now
triggered my interest in the mild rebound off its lows. My bias towards
this stock will change if RIMM goes down to test those lows again and
creates a double bottom. In the meantime, we can feel comfortable
shorting this stock if downward momentum continues.
I am putting out a sell short recommendation on Research in Motion (RIMM- NASDAQ) this morning. This is a medium risk play in which you can enter this trade once the stock closes below the 7 day moving average (approx. $115). This stock has been steadily trending downward since it reached a high price of $147.50 on June 23rd and has now triggered my interest in the mild rebound off its lows. My bias towards this stock will change if RIMM goes down to test those lows again and creates a double bottom. In the meantime, we can feel comfortable shorting this stock if downward momentum continues.
Research in Motion is a leading manufacturer and provider of wireless solutions to the global mobile telecommunications industry. They are known primarily for the BlackBerry products. Fundamentally, with a PE ratio above 43, the stock is now overpriced.
It was an excellent week for the stocks in our WallSt.net trading portfolio. Please note that we have raised our stop orders to sell in several instances locking in more profits. Have a happy, healthy, and prosperous trading week!!
Steven M. Goffner
President
SmartStockSelections.com
GRC…recommended at 41.31, now trading at 43.20. Keep stop order to sell at 37.50.
SHLD..recommended at 71.58, now trading at 80.98. Raise stop order to sell to 75.47!!
CLHB..recommended at 72.20, now trading at 79.46. Raise stop order to sell to breakeven!!
EDU…recommended at 63.75, now trading at 74.32. Raise stop order to sell to 69.72!!
NOV…recommended purchase of November 85 calls at 11.50, now trading at 6.50. Place stop order to sell at 5.75.
SU…...recommended as a short sale at 57.80, now trading at 53.90. Lower stop order to buy to 55.88!!
ARG…recommended at 60.06, now trading at 54.92. Place stop order to sell at 54.06.
MA…..recommended as a short sale at 263.78, now trading at 263.55.
BAC…recommended at 32.37, now trading at 29.58. Place stop order to sell at 25.05.
Research in Motion is a leading manufacturer and provider of wireless solutions to the global mobile telecommunications industry. They are known primarily for the BlackBerry products. Fundamentally, with a PE ratio above 43, the stock is now overpriced.
It was an excellent week for the stocks in our WallSt.net trading portfolio. Please note that we have raised our stop orders to sell in several instances locking in more profits. Have a happy, healthy, and prosperous trading week!!
Steven M. Goffner
President
SmartStockSelections.com
GRC…recommended at 41.31, now trading at 43.20. Keep stop order to sell at 37.50.
SHLD..recommended at 71.58, now trading at 80.98. Raise stop order to sell to 75.47!!
CLHB..recommended at 72.20, now trading at 79.46. Raise stop order to sell to breakeven!!
EDU…recommended at 63.75, now trading at 74.32. Raise stop order to sell to 69.72!!
NOV…recommended purchase of November 85 calls at 11.50, now trading at 6.50. Place stop order to sell at 5.75.
SU…...recommended as a short sale at 57.80, now trading at 53.90. Lower stop order to buy to 55.88!!
ARG…recommended at 60.06, now trading at 54.92. Place stop order to sell at 54.06.
MA…..recommended as a short sale at 263.78, now trading at 263.55.
BAC…recommended at 32.37, now trading at 29.58. Place stop order to sell at 25.05.