Today's Trade (AAPL) and BOOM Chart

I bought 400 shares of AAPL (Apple Computer, Inc.) at $78.67. I detailed my reasons in two posts earlier this week. I've got a mental stop placed around $77.20.

Boom(Dynamic Materials Corp.) has been an easy play over the past year. You buy at extermely oversold positions and sell short at overbought extremes. Buying at 30 RSI and selling at 70 RSI would have netted you 10, 15, 15, 12 and 9 point gains. You can bet I'll be waiting for the next extreme. Notice the small bullish divergence in the chart, marked by the orange line. My best guess is we'll see overbought extremes next.

Note that this trade only comes once every few months, and there are other shorter term opportunities in between this larger time framed trade.