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I used to run a limited partnership, boutique hedge fund in the 90s. Retired in 2000 and moved from New York City to Toronto, Canada, got married, raised a family and basically settled down. After a few years in Toronto, my wife got tired of the city’s 8 months of cold weather and insisted that... More
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  • The Impending Move In Apple (Part 2) 3 comments
    Aug 19, 2013 2:08 AM | about stocks: AAPL, SCTY, SPWR, SUNE, TSLA

    Three weeks ago, on July 27th to be precise, I had pointed out that AAPL's PnF chart had given a solid technical Buy signal when its stock price pierced its Bearish Resistance Line...That signal has so far yielded a $60 move in Apple's stock price in 3 weeks... the next 2 weeks or less, AAPL's Candlestick chart will issue its major buy signal when the stock's 50 day SMA line will pierce its 200 day SMA line from below...

    (click to enlarge)

    As you can see from this Candlestick chart of AAPL, it's 50 day SMA is trending up while it's 200 day SMA is trending down...Currently they are $28 apart...I have been monitoring these two MA lines for sometime and believe that the 50 day SMA line will break through AAPL's 200 day SMA line in about 12-15 trading days...this very important technical break should propel AAPL share price substantially higher...again!


    DISCLAIMER: All postings made here are strictly for my personal record keeping and in no way, shape or form, am I even remotely suggesting others to follow my Buy and Sell moves. Trading options is definitely not for the faint of heart as one's portfolio can move up, or down, anywhere between 10%-30% during a single trading day. Feel free to follow my progress here, but PLEASE do not follow my moves. However, if, in spite of all my exhortations, should you decide to do so, be advised that you, and ONLY YOU will be responsible for any losses that you may suffer...In other words, the onus is strictly on you. On the other hand, if the move(s) result in a profit for you, I am open to discussing a split. ;-)

    Disclosure: I am long AAPL, SPWR, SUNE, STP.

    Themes: Options, Solar Sector Stocks: AAPL, SCTY, SPWR, SUNE, TSLA
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Comments (3)
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  • kccase3
    , contributor
    Comments (47) | Send Message
    Hi Karim,


    Thanks again for the great discussion around Apple and the impressive foresight to see this move. Now that we have seen Apple relax a bit, I was hoping to get your opinion on your next move for the stock. Historically, Apple has seen a good run up before announcing new products, but tends to fall for a few days after each annoucement. I see a few cadalysts that will help the stock go up including new product announcements (iPhone 5S and iPhone 5C), the 50 day SMA crossing the 200 day SMA as you mention above, and the possibility of a China Mobile deal being annouced (is this speculative?). Would you mind letting us know where you see the stock price going and in what time frame? Maybe help us understand how you develop your Price Target and expected timing of the move? Also, and I know I am asking a lot here. I have been constantly curious as how you develop your time to sell. Is it based on reaching your Price Target, Relative Strength using Candlestick or PnF charts, or is it timing in relation to the Option expiration? As always, thanks so much for any insights.
    26 Aug 2013, 06:05 PM Reply Like
  • Options2Wealth
    , contributor
    Comments (134) | Send Message
    Author’s reply » KC, On Apple, my initial target is $580 and I expect it to reach that sometime this month...The way I arrive at is by its PnF chart...If you look at that chart, you will notice that when the stock reaches my $580 target, the chart will look like a cup, a PnF version of it...Additionally, the stock will have made a 20%+ move since my initial call when it broke through its Bearish Resistant line and that is a good size move that calls for taking profits and waiting as the stock digests its gains...As to how I pick my price targets...I mostly (90%) rely on the stock's PnF chart and a smaller part (10%) is just plain, old fashioned intuition...hope this
    6 Sep 2013, 09:37 AM Reply Like
  • invest.beginner
    , contributor
    Comments (88) | Send Message
    As our guru says, there is slight pull back & its healthy so ignoring all RED numbers in my portfolio for now. Hope to see AAPL back up $500+ next week.
    27 Aug 2013, 12:52 PM Reply Like
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