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Shares of Apple Inc (NASDAQ: AAPL) Not Acting Right

|Includes:Apple Inc. (AAPL)

January 28, 2010

Shares of Apple Inc (NASDAQ: AAPL) have seen huge swings this past week as the market was served first with a greater than expected quarterly earnings report and then on Wednesday, the announcement of the highly anticipated tablet device, the new Apple iPad.

Here is a question: With blowout earnings this quarter and a new apparently well received Apple iPad announced, why are shares of Apple up only 1% on Wednesday? And why are they not at new highs?

Something may be wrong in Apple land.

If shares can close above $215.04, their prior rally high, they should reach the next resistance level at $222.76. This is not much gain potential considering this stock is not acting right.

Of course tomorrow the stock could rally and the above question will be moot. But bullish traders may want to take some chips off the table until some strong upward momentum is reestablished.

Disclosure: The Stock Strategy has a position in Apple Inc.
Stocks: AAPL