RIM for RY trade

[excerpt from our email exchange]

OK, we sold RIM on a 5-day high at $51 and bought RY on a 5-day low at
$55.40. But I see now RIM is rallying on one of those short squeeze
days, upto $53.


On Fri, Oct 15, 2010 at 4:39 PM, Arash Bateni wrote:
> I never figured it out... is greed good or not?! ;)
>
> On Fri, Oct 15, 2010 at 3:59 PM, Eddie Kim wrote:
>>
>> What happened to this trade? Well, I got greedy, I saw some good short
>> term momentum last week upto $51 so I thought I'd try to let it ride.
>> but it's back down to $49. I'll try again next week.
>>
>>
>> On Thu, Sep 30, 2010 at 1:16 PM, Eddie Kim wrote:
>> > Now I'm confused! :)
>> > RIM has had a lot of negative sentiment over the past few week/months.
>> > It could take quite a while to work it's way thru back to positive. I
>> > think there should be easier ways to make money. I'll try to engineer
>> > this trade.
>> >
>> >
>> > On Thu, Sep 30, 2010 at 11:56 AM, Desmond Lam wrote:
>> >> I just forwarded an email link to a G&M story about how RY is hot and
>> >> RIM is not. Looks like all the pros and making the same trade! Now my
>> >> contrarian instincts say that our trade isn't controversial enough. I mean why
>> >> sell RIM when sentiment on it is so low?
>> >> Anyways, I am fine with trading RIM for RY as originally suggested, it
>> >> just looks like the momentum trade du jour and not au contraire.
>> >> Des
>> >> On Thu, Sep 30, 2010 at 11:38 AM, Desmond Lam
>> >> wrote:
>> >>>
>> >>> Good for me. RIM has had a little bounce the last few days. I think
>> >>> I read in the G&M the other day that Cdn banks are poised to increase
>> >>> dividends now that Basel 3 capital requirements weren't as strict as
>> >>> they first thought.
>> >>> Des
>> >>>

I am fine with RY or GS. Generally fine with tech as well, but we already have some Telus. RY should be a more conservative play than GS - gives dividend too.

I don't like gold or other commodities now. Looks like they have gone too far. I think the downside risk is high.

Cheers, AB

>> >>> On Wed, Sep 29, 2010 at 10:59 PM, Eddie Kim wrote:
>> >>>>
>> >>>> How do you guys feel about trading RIMM for RY?