If Apple splits 6 to 1 it might be allowed into the Dow 30. This would allow more fund managers to purchase the stock and raise the stock price even more.
I bailed out of my long positions today and took my profits. I'm sitting on the sidelines for the time being. It looks like the indexes are going to continue south for at least another day or two. Big Ben will eventually step in and support the markets.
I agree about Bernanke, though it's not for certain he'll need to help out just yet. AAPL has held up real well so far during this correction, relative strength wise. The low PE helping out a bit perhaps? I can't see it going below 600, and maybe even 625-617 will hold as support. Will be adding to my AAPL long positions (via Bull Put Spreads) next week, after the dust settles a bit. What level are you looking at to go back in?
I thought it was going to 617-619 but after today it's hard to say. It may have bottomed out today. If it gaps up tomorrow morning I would be hesitant to sell my calls. I got a feeling this may have been a bottom. If it does happen to gap down tomorrow it probably will hit 617-619 at some point. Even if this second scenario comes to fruition, I'm holding onto my calls for the bigger move.
So you're back in long again? Probably best, it's not easy to time these moves. Sometimes I think they make up World News just to manipulate the Market. Down 5 days in a row - Europe is falling apart, etc. OK, enough of that - Europe is alright again... and we get a bounce.
Bullish Harami Candle Pattern in the $SPX? Harami: When you see this pattern the first thing that comes to mind is that the momentum preceding it has stopped. On the first day you see a wide range candle that closes near the bottom of the range. The sellers are still in control of this stock. Then on the second day, there is only a narrow range candle that closes up for the day.
These formations are all around 40% accurate. This is considered a good accuracy because the pay off ratio is so good.