Stock Market Viewpoint

Stock Market Viewpoint
Reading the Tea Leaves...

Monday, September 10, 2012

AAPL Slips Off The Edge

Stock Market Technical Analysis Blog
Click on chart to enlarge
In the stock market today AAPL did what seems like the unthinkable to many and slipped out of its six week uphill channel shortly after the open this morning with the bears piling on it quickly causing it to close at the low of the day.  Referring back to my August 29th blog post where I discussed AAPL's run up situation I encourage traders who went at my May 13th blog to take their money off the table explaining that the best case scenario for AAPL was for it to move sideways for a while and the worse case would be for it to have a nasty drop.  Those who exited the last week of August are probably glad they did as AAPL slipped out of its major channel today.

 AAPL is wall street's baby, it is their everything, with all the Wall Street firms it is by far their biggest holding and when AAPL falls Wall Street is forced to put their current agendas on the breadth of other stocks on hold and come to AAPLs support.  If they dont they will suffer serious damage on their quarterly numbers if AAPL continues to fall.  Once they have it stabilized then they can relax and return to the stocks that they were we working before AAPL started dropping.  You can have the vast majority of stocks set up nicely ,ready to run up but if APPL starts dropping you had better be ready to exit your long positions quickly.  A falling AAPL will pull everything down.


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