Stock Market Viewpoint

Stock Market Viewpoint
Reading the Tea Leaves...

Tuesday, January 15, 2013

Market Sideways Again

Stock Market Technical Analysis Blog

Click on images to enlarge

In the market today we saw more sideways movement of the S&P and VIX as shown in the upper cluster.

Looking at the AAPL charts in the lower cluster we see that they decided to pass on the short window for a surprise jam on AAPL today and it appears that they may be waiting for three key technicals to coincide tomorrow or Thursday.  The first technical to help their chance of turning AAPL back up tomorrow or Thursday is the fact that AAPL closed today at the lower line of its original ascension channel that goes back four years as shown in the lower right chart.  Two other technicals that could be strong tools to reverse AAPL is that AAPL is poised in a "bounce or cross down through" line situation with its 100 and 200 EMAs and also its 100 and 200 SMAs shown with the brown and black lines in the left side charts.   If AAPL actually loses the lower line of its original very gradual uphill sloped channel going back to the beginning of the four year AAPL run at the same time it suffers a 100/200 EMA down cross and a 100/200 SMA down cross the future of it as an investment will be questionable looking forward.

However, if they take the synchronized lower line touch down and both the EMA and SMA bounce situations and jam AAPL big they will have some really strong, quality technicals to turn it back up with.  They better not hesitate here as there are hundreds of points of airspace below AAPL if these three major technicals are lost in the next few days.


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