Quote from cybercash28:
Gap at $24.5 $25 has been tested. Gap doesn't have to be filled. Tested in this cased is RIMM went below the top of the gap up (same price is also considered to be tested).
In a very volatile markets, gaps are not that important. News taking over and TA becomes not/less important, only very kep supports and resistance. The farther the price is away from gaps, we don't need to worry about them. Like magnets.
If you worry about gaps then how about the huge gap at $29.93 - $34.67 (earning drop). This gap actually has been tested, see the $30.23 on chart, above $29.93
The good things:
- Downtrend broken on 8/15. Will trend continues? if it can close above ma-50 on good volumes then yes.
- It got a downgrade today, tech was weak and RIMM held well
- RIMM has tons of cash, no debts, MSFT for RIMM??
Bad things:
- RIMM is not the winner in this space. AAPL is
- Market is so crazy.
If market is strong RIMM can move move up above ma-50 because people will look for "values"
For now, focus on the market first, not gaps.
P/E (ttm): 4.27
PEG (5 yr expected): 0.76
P/S (ttm): 0.69
RIMM is cheap.
Tell Europe to behave and RIMM will go to $35, double resistance on weekly chart.
Good luck.
