RIMM Update

The RIMM trade is an older trade that quite a few of you are still in, this was a trade that went perfectly according to plan, so here's the update.

 First we had a trading range in RIMM and in August as it broke below, it seemed like that range was broken, but as I will show you, as we identified at the time, it was a false break down or a head fake and many bought on that weakness. Our expectation was for RIMM to move above the trading range which it did and likely fill the gap, anything else was a bonus and then for RIMM to collapse. They had just introduced a new line of phones, but were and are loosing market share to AAPL and Android based phones. This is a trend we don't expect to reverse until they release their new OS.-so RIMM did exactly what it was supposed to do.

 The 1 min chart is in line with prices to the downside/trend confirmation

 as is the 5 min chart.

 Here's the 30 min showing the breakdown from the breakout of the trading range and further downside confirmation.

And the 60 min hart shows the range, the false breakdown in white below the range where many members bought and then the false upside breakout which nearly filled the gap and out upside expectations. The 60 min chart is also in line suggesting that RIMM has more downside to go in all timeframes. When they introduce their new OS, maybe they'll have a chance at a comeback.