Research In Motion (RIMM)

RIMM went up by almost $13 USD today, made a new high of $113.37. I overheard from the colleagues talking about it this afternoon. A few of them thought it is crazy.

Well, why is it crazy? I guess not everyone understands why stock goes up or down, so it's normal that some people will think the upward movement today is crazy. But stocks go up, stocks go down, need not be surprised.

I didn't read into whole lot of detail about RIMM's earnings report today. Investors already told me what they think. They think RIMM worths more or they won't buy at a price of above $100. Two months ago (when it split 3 to1) I already heard people saying that RIMM was expensive, only to see it went up 50% more. I think people here have to learn it; good stocks keep going up and bad stocks lag.

I was a little disappointed about myself not buying into RIMM two months ago. As RIMM held very well even after the large decline of market due to subprime burst in mid-August. When I mean it held very well, I mean the stock quickly recovered from the decline and went back to stay above the 20-day EMA. As well, it also fulfilled other criteria I use. The other criteria I use include the following:

20-day EMA > 50-day EMA > 100-day EMA > 200-day EMA

20-day EMA is about 40% higher than the 200-day EMA, the ratio was becoming a bit high but still okay, but a bit lower would be even better

After today's increase I'll still keep RIMM under my radar, but I'll not buy in for now as the 20/200-day EMA ratio is a little over 50% already, a bit too high