I was looking at APPLE and decided to do a simple write up on it. APPLE had been on a steady uptrend since early Sep this year and of course the question is when will it retrace? Looking at the chart, APPLE is currently in a ranging mode where there had been a dearth of demand. No real demand came in since early Dec and the market had a problem moving higher with prices cluttering against each other. Buyers had difficulty pushing the prices higher with prices only moving in a small fraction after all their effort from mid Dec till now, I would say the big operators had already taken most of their profits and looking to bring this stock down. APPLE could be in a distribution phase now where big operators are looking to sell the stock at high price to you and if you as an investor thinks that the stock is going higher, you would buy it from them.
Now the question is, is this ranging a further upside or a downward spiral. Looking at the whole operation and assuming that i correctly read the minds of the big operators, they should be bringing this stock down since there are so much supply above. However, more evidence is needed to support this statement. Anything can happen in the stock market and i could be wrong. For now, i think APPLE has reached it's potential on the upside and its time for the stock to retrace so that more purchases could be made.
Watch out APPLE tonight as it will soon reveal its true color on whether a further upside should continue or strong selling is entering to flush this stock down. A trade could be taken last night or better tonight, if the signal is palpable.
Ronald K
