Paul,
I watched the action of syqt and iomg together to answer you about the syqt July 15 puts. Time is on your side for the hype and rumor to die down.
After all, syqt is a company almost bankrupt and with inferior storage technology too...just one/two weeks ago it was a $5-6 stock. BUT, because of a buyout rumor that someone may want syqt ... since herd thinking is if IOMG is worth so much, perhaps surely syqt is worth more than what it trades for ... hence the run-up to intraday 18+ today. Note 14.3 million shares traded, mostly on the buy side and the overhead supply not selling. So, who knows how long the effect of the rumor or the IOMG legend will last. To me, buying in-the-money puts would be the safer play.
I saw what Kevin had said about the RSI for syqt ... he said the same for DELL ... but I see things differently. I played DELL for a 5 point pop on earnings, when the technical indicators said it was overbought. On syqt, I'll play it for a correction but maybe not falling like a rock...because the IOMG cult and the hope of a buyout is too strong.
The "I" stock will correct, but it will not fall like a rock ... at least not before it surges and makes new highs. Computer show in June exhibiting products ... new OEM agreements coming ... acer internet computer with a zip announced after split was not a fluke... a well-prepared strategy is in place ... forget zip, jaz is next and it's even bigger. And I'm not a IOMG fanatic ... just saying this because syqt has been tracking with IOMG stronger and stronger, ever since Monday.
For what it's worth. Best wishes on your trading. |
