The current liquidation of equities is a global event which I will address on the weekend but today’s broad collapse has to deliver some opportunity. Now Research In Motion at $23 is almost a joke – unless the market knows something we don’t know - but I don’t think RIM is going bust anytime soon.
The technical view of RIM is one of the worst big cap train wrecks I have ever seen. The weekly displays the MACD falling with no divergence in sight, the 10-week price channel has been falling for 19-weeks, the 10-week ROC has been negative for 20 weeks and the per cent divergence (CP#) from the 30-week MA is at a historical record of negative 50 per cent. RIM is so bad it has to be good
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6 comments:
Hi Bill,
Technically speaking, isn't this like catching a falling knife? In your chart, the indicators (like MACD) have not given any buy signals yet. Shouldn't we wait and "listen to the market"?
Best regards,
James
Gutsy call Bill. Personally I would look for MA cross and join the trend.
Elliot wave looks sound but this ship will take some time to turn around.
BTW Cameco is my favorite now
as it's much harder to wiggle out of a long term uranium contract than a cellphone agreement.
I was watching you on BNN last night (it is nice to see you on the show). I was hoping to hear what your thoughts on the market moving forward with regards to using the "elliott wave" theory but the host just moved through that part. Could you respond with where you see the markets going.
thanks in advance.
I don't know Bill. Looks like a crash to me.
Shawn
The Blackberry 7 refresh will also result in earnings growth too.
Nice bottom call at $23. This thing has huge upside bounce room. Lots of speculation of a takeover. Either way a great trade.
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