On wednesday when RIMM (the Blackberry company) was at $95+, I decided to buy an October 105 Call option. It's 2 steps out-of-the-money and it supposed to cost me $4.40. I'm quite keen to get RIMM but yet, I'm unwilling to fork out $440. I set a limit price at $3.85 and went to sleep at 1.30am (SG time). Haha, the limit price was executed around 3.30am at $3.85.
RIMM is expanding into China, with 2 new great products coming into the market and with very strong stock momentum. On thursday, stock price rallied to close at $100.50 (a jump of $4 plus) in anticipation of the company's Q3 earning report after market close.
Industry estimate (based on Briefing.com) was 0.49 and RIMM reported 0.50 with upside guidance. On friday, the stock gapped up $7.19 on the opening bell and next, it passed the criteria for guaranteed profit as determined by The Chicago Trick slightly before 11am ET.
And me, I made a 136% profit (my highest in recent days) when I close the position $9.10. RIMM continued to rally to the $114 region and the option i trade hit around $10.50 or more.
My first RIMM!
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