Tuesday, January 13, 2009

Another Look at Apollo Group- APOL

The above chart is a daily view of Apollo Group, ticker APOL. The gap has now held for a 2nd day. I cannot help but suspect that this may be an exhaustion gap but the rule is to buy the 3rd day of a gap that holds. That said, if this gap holds a 3rd day it must be respected hence I am lowering my stop to the recent (Friday's) high plus a point. Gotta remember that a lot of hedge fund boyz are looking in the abyss and are chasing any trade that shows signs of life. B

But, if this is an exhaustion gap I stand at the ready to add to my short. So lets have a closer look a the action of late.

The above is a 10 day/10 min view of APOL. We have not made a new high nor a new low since Friday. Hence I stand ready to get further short on a break of $85.50 and then once again at $84.50

Good speculating to you all and never forget that "an investor is a speculator who made a mistake and will not admit it".

Open Positions:
Long 2 units Ultrashort MSCI EAFE ticker EFU @ $89.80 stop at $84.67
Long 1 unit Ultrashort Financials ticker SKF @ $102.60 stop @ $99.47
Long 1 unit Ultrashort S&P500 ticker SDS @ $66.15 stop @ $63.77
Long 2 units Ultrashort Real Estate ticker SRS @ $55.23 stops @ $47.93/$51.68
Short 1 unit Darden ticker DRI @ $27.70 stop @ $30.12
Short 1 unit Apollo Group ticker APOL @ $86.55 stop @ $88.61

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