$AAPL Chart Checkup, 05/21/14 Market Close: A Quietly Constructive Day – Possibly Too Quiet?

Seems like very positive price action so far…for not really going anywhere, that is.

But volume’s on the low side, OpEx Friday is nigh, and WWDC/the share split are potentially volatile events, at the least. And that’s just the “knowns”.

Anyway, to paraphrase Ylvis and bring up a months-old meme…what do the charts say? 😀

(Click for full resolution charts)

5-min chart:

aapl-5min-052114close

Sorry, no bad puns to be found here, much as you might have been looking forward to them. 😛

– Micro-timeframe bull flag still flying strongly. AAPL hasn’t fallen below 600.

– Something of a bullish pennant formation? Bit early to tell if there’s a breakout…AAPL’s been trading very modestly lately, and didn’t really participate in today’s bounceback rally in the broader markets. It’s Camel Day and Memorial Day vacation prep, but volume was still very low in AAPL terms. If nothing else, I guess there’s always trendlines, levels and frequent quote checks for the more active traders until the next significant directional move or formation presents itself, I guess.

Hourly chart:

aapl-hourly-052114close

– Bullish promise? Yes. Of course, that also means no follow-through just yet.

– Bollinger Bands have gotten very narrow in a relative hurry – just a couple of days. Currently bandwidth is just over 5 points, with AAPL somewhat over mid-channel.

– The technicals I track seem net positive – oscillators look fairly strong just at the end of the day, four consecutive green hourly candles (including tests-and-holds of the SMA-20 hourly), though MACD-h is still a bit negative. But price action is still…well…quiet. Tea kettle’s feeling the heat, but no distinctive whistle/steam/price resolution to the upside just yet. Were this Monday or Tuesday, maybe I’d “sound more optimistic”. But it’s not, and AAPL does have a tendency to cool off later in trading weeks – with this trading week looking to wind down in volume, participants and liquidity in the next couple of days as many prepare for the three-day weekend. We’ll just have to see about tomorrow, I guess.

Wrapping up with the daily chart:

aapl-daily-052114close

– Y’know, zooming out, the uptrend still looks very unique relative to the past three (as I measure them).

– Daily Bollinger Bands compressing rapidly, with AAPL in “good position” to move to the upside once whatever market forces that be decide that AAPL’s had enough volatility compression. Of course that’s just right now.

– Oscillators looking good; MACD-h is still slightly negative (though a tiny bit positive via stockcharts.com, which adjusts for dividends).

Three straight days over the mega-macro trendline. Definitely something different. AAPL’s absorbed the monster uptrend from earnings very, very well, with no apparent signs of post-bull-run hangover.

– AAPL hasn’t had a down day yet this week, but the up days haven’t been of the overheated variety either.

A slow day, but not a bad one by any means. How will AAPL hold up as the holiday weekend approaches?

See you on the virtual trading floor tomorrow.

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