AAPLTalk, 7/10/13 (Post-Market Close): Waiting for Godot Short-Term Resolution


The good:

– AAPL is still setting up a nice bull flag formation.  Nothing inherently wrong with inside days after big moves.

– AAPL is still behaving decently against what so far has been a remarkably consistent downtrend channel.

– No major levels were breached and most daily technicals look more or less the same as yesterday.  And the lower daily BB is still hooking up slightly, implying slowly improving price support.

The bad:

– And this is potentially pretty bad – inverted hammer daily candle showing up during an uptrend.  Not the kind of inside day I’d like to see.  Especially not when some metrics like Fast STO currently have AAPL being “overbought”.

– AAPL didn’t follow through like many were thinking it might, and volume started drying up again (from a relatively decent-for-“new normal” 12.6M yesterday to 10M today).

The levels and just a tiny bit of the backdrop for tomorrow:

– Levels seem pretty much the same to me.  And really, since we’re in the middle of that 418-423 morass, let’s see what happens once AAPL makes a move towards either boundary.  As seems to be happening a lot lately, AAPL is almost squarely in the middle of a zone or level (recently, the SMA-20 daily).  Makes AAPL hard to figure out, at least for me.

– Continued “Apple is doomed” commentary, “particularly” now that Apple’s been handed a defeat in “E-book-gate”.  BUT Bernanke just gave the market another boost which also lifted AAPL after-hours.  (There’s also the ever-present question of whether this Bernanke enthusiasm will eventually wear off, or reverse.)

– AAPL is holding above both the SMA-20 daily and the 420 level, BUT there’s both weekly and monthly OpEx around the corner, which have reputations for messing with AAPL’s price action.

Lots to think about.  Sure seems like fun the next two trading days.