Replies to post #10089 on Marketgems Earnings Trader- Trading Strong or Weak (MKTGEMS)

[jenna]

APOL trading like BMET after the report, once they report and the news is very good, they usually continue up for a day or two. The reality of this market is that there will not likely be a 'textbook, orderly pattern setup' that will last more than a scalp trade except for the earnings plays. Anyone thinking the market will pattern the textbooks and chart patterns will last forever, should see the Walgreen commercials. Markets are not "perfect" and those that teach traders and ignore earnings, geopolitical situation and economic crisis might live in "perfect" but that is not the reality.

[jenna]

RIMM/PALM to watch tomorrow. RIMM did soar after last earnings report and it was expected that it would exceed estimates. RIMM trading today was lackluster and their was no SOLID justification for entering a long position through the report. IF we get some upgrades in the morning, we might see a gap 'n snap. I'm less than exuberant here but will keep an open mind.

Some of you might remember RIMM at 160 nearly 3 years ago and how tht Israeli company was like the "Little Engine That COULD". Well we'll see. We have to be careful not to buy into a move like there was in PALM this morning. I would rather short a spike high or pick it up after a climactic sell off (long lower shadow on volume spike) than chance buying into a "sucker rally" in the morning.