How do you solve this problem?

You're exactly right, and that's why I want them to be objective and simply track their "in's and outs" - to be sure that if they are going to lose $1.00 they better be making $$'s as well. If they make dimes and lose quarters, it shows up very graphically.

Just a tool that I use....

Don

 

Are you still holding RIMM short?

 

No, I got out yesterday on the dip at a small loss .

 

I can't say that wasn't a smart move. But, the speculator in me would have like to see you hold through the earnings report.

 

:eek:

 

I agree. My rules for holding through earnings are as follows.

If I am long:

If the stock is at or near a 52 week high I sell before earnings.
If the stock is nowhere near a 52 week high I hold.

If I am short.

If the stock is near a 52 week high I hold
If the stock is nowhere near a 52 week high I cover.

There will always be time to re-enter the stock one way or the other.

 

Ok, their earnings were less than expected, but I wouldn't normally hold through earnings, just this time i made that mistake, and it worked out in my favor.

 

so how would one play RIMM now, short with target 84, stop 87?

 

It's trading at 96 now.

 

Just saw 44,400 print at $100.54. He's lucky he covered or he'd be toast.