Hi, I've attached an annotated 1 year daily chart of AAPL. I am still rather new and I'd like to hear any feedback on this trade, and the potential for another next week, depending on the action.. I shorted last week after the harami bounce off of resistance indicated by the Nov-Dec low and August high, then got out on Friday for a small loss after the big gap up on good volume during the broader tech rally. AAPL reports on the 23rd, this Wednesday. I personally expect MacBook Air sales to disappoint, and I doubt iPhone sales will make up for it. Tech has been doing well lately on overseas sales, and the Europeans don't seem to be very impressed with the iPhone. I suspect AAPL rallied up to resistance, and stopped there, on spillover from other tech earnings. Unless it goes strongly over resistance, I would short again early next week on this theory. My question.. is this a good take on the situation? Or am I trying too hard to find an interpretation that would make my original short not a failed trade? All opinions are welcome. Thanks in advance. R
Just my opinion Trading earnings is pure speculation. Trading a market darling like AAPL is even higher risk. Pattern could well be a cup w/handle?? http://tinyurl.com/24tqml
Totally agree. Just go to vegas rather then hold AAPL over earnings. Maybe play options for the volitility but 20% up or down is almost a certainty in this environment. unless you have someone on the inside, that kind of risk is not for traders.