OK, this option is way out of our price range because we’re focused on helping investors with very small capital.  But I let a friend (David) talk me into making a trade. If we lose, it’s his fault not mine.  As your investing coach, I want to urge you to do as I say, not as I do!  This is a good trade, but it is out of our cost range.  For our Trend-Expert/EOM trades we advise sticking with option trades that cost no more than $500 or thereabouts.

So a couple of days ago Apple announced a buy back. If you’re familiar with our course material, you’ll recognize that as a signal that the stock will most likely be on the move.  A bit of analysis will tell you which direction and how far.

To me, stock analysts are like lawyers. I don’t trust them to interpret the law, so I taught myself. The same is true relative to stock analysts. 1/3 of the analysts out there suggest that Apple may have a correction coming. The other 2/3 of say AAPL is going to keep going to $700 a share or so. My advice is, don’t believe any of them. Just do your own research and due diligence, and trust your gut.

The chart is the thing (to paraphrase Shakespeare).  Our system nailed AAPL about a month ago (see previous blog entries).   Yes, it’ still going to rise.  Today the stock is consolidating to get some situational awareness.  Then when the dust settles, it will keep on it’s path.

Earlier today I got filled on an AAPL May 12 650 Call.  The fill price was $1775.  Crazy, I know.  But I’m only in it to make a couple of hundred $ real quick… or maybe enough to get an iPad3.   As I write this, the option price is steadily climbing.  The high today for the option was $18.85.  This trade should be good until Friday.  Apple typically rocks the boat on Fridays.  It should be an interesting couple of days.   So I actually expect it to pull back for a bit before advancing, but I’m not sure how far back or for how long.  That’s the main problem with this trade.  There is way too much uncertainty, too much money invested and therefore, it’s a ridiculous gamble.  I am not a gambler nor do I condone gambling in any way shape or form.  At Trend Expert, we do not gamble.  As serious investors it is important to do research, due diligence and execute your trade decisions based on the information you have at hand.  Apple’s chart says it may go up or it may go down soon.  In the member’s area I can discuss this in more detail.

For now all I’ll say is, if I profit I made a great trade.  If I lose, it’s David’s fault, and we all will have learned a serious lesson.

-admin