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To: Cold Heat
That trade is long over..he called it days before the CC. Got out shortly after. He made out like a fat rat...because we all know how that high flyer trades, and if they put out decent numbers and fail to meet some analysts expectations, the stock takes a nose dive for a short period of time.

All of the high flyer (high multiple) tech stocks do this..

Actually, no, they don't. Only AAPL does this. . . and what is high multiple about 14 PE? Back out the $203 Billion cash position of Apple and that is more like an 11 PE. It certainly is not the stratospheric multiples of Amazon 1050:1, Netflix's 420 or Google's and Microsoft's 32 to 35 which are both more than double what Apple's is. All the fundamentals show that AAPL is undervalued compared to the market. See? You don't know what you are talking about.

It was a great gamble. . . based on manipulation of the news, not on the actual factual record results. It was pure FUD manipulation of the news cycle made possible by some anal-cysts in the news media who connived to make it happen by lying about the results for a few short hours before correcting their lies. Long enough to do damage. . . and enrich their buddies who knew they were going to do it at the expense of little traders who believed the crooks. It was dishonest and reprehensible.

100 posted on 07/27/2015 5:30:16 PM PDT by Swordmaker ( This tag line is a Microsoft insult free zone... but if the insults to Mac users continue...)
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To: Swordmaker
Only AAPL does this

Nope!

Apple is a marketer at it's heart, and as such it's fortunes rise and fall with any number of factors.

In determining it's value, you do back out the cash.

As to news manipulation as you termed it, I would call it the usual hype surrounding many issues, not just apple. There is nothing illegal or immoral about it, it just is what it is. They missed a analyst estimate combined with a rather dodgy intro of the I watch to which Apple appear more than protective about it for reasons the market could not exactly make sense of.

And that Gold watch really put them into the jewelry category....lol

You add all that together and it did not take a lot to nosedive the stock for a short play. it's done all the time..but as a trader you want to get behind the trade and not in front of it.

Has nothing to do with dishonesty. The market to begin with is essentially a casino. A horse track.....and you bet on the nag, but the weather turns sour and you get a mud track.

101 posted on 07/27/2015 5:49:44 PM PDT by Cold Heat (For Rent....call 1-555-tagline)
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To: Swordmaker

BTW.....Something else you really don’t have a handle on.

Valuations are largely not a factor in a traders decision making..it a peripheral issue. Traders look for movements of the SP...(stock price) They watch charts, options activity, and news as well as sentiment.

All that other stuff....cash, profit margins, realestate, debt to equity ratios..etc...are the purview of the investor.

There is a huge difference between a trader and a investor.

I am a trader as is my friend. It damages your ability to be a successful trader if you think like a investor. I have made that mistake multiple times...it’s a common error.


102 posted on 07/27/2015 6:01:34 PM PDT by Cold Heat (For Rent....call 1-555-tagline)
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