I still think Apple is one of the few true growth stories in tech, and at current valuation is extremely compelling. But until a lot of technical resistance overhead in the low to mid $140s is taken care of, the stock will remain range bound.
Well now we are at that all important mid 140s, as the 200 day moving average beckons - just a tad under $145. A move above this level (maybe off Oracle report tonight) and in a bull market I'd be buying hand over fist. In *this* market I'll have to assess a bit closer but it's definitely a nice move and Apple is looking like the old champ it has been the past few years. With quarter end approaching I am not sure if this is just the institutions running up the stock price or the long awaited beginning of a rebound. We shall know soon enough.
Long Apple in fund; no personal position
2 comments:
Good that you brought this. These are a few stock price movements that makes this rally different from the last failed rallies. I am not expecting AAPL to make new highs, but do you think looking at a sudden drop from 160 to 140 on its way down, it might not act as a tough resistance? Looks like the market is getting some strong invisible support lately.
Long AAPL
you will want to throw up a 5 year trendline as well. The 200 day and trendline are pretty close thus it should act as strong resistance. I would be looking for a shallow cup-n-handle to form here on over the next several weeks before the next launch try over the 200 dma and trend line resistance.
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