Posted on Tuesday, January 10th, 2012 | In Current Market News, Investing Lessons
On 12/25/2011, I wrote about AAPL hitting $410 and $420
resistance areas several times in the past and then turned
back down. See the post here.
The following is an updated weekly chart, extending the
support and resistance lines to this week.
AAPL’s action today (1/9/2012) is not a positive sign of trying
to break out of the resistance in strength. The following hourly
1. Gapped up then down most of the day.
2. Down volume is greater than up volume.
3. In the last hour, it lost its relative strength to the market.
For swing traders of AAPL, watch its price action CLOSELY
for the next few days for signs of continued weakness or
renewed strength. If it does go down, it could hit $400 area, the
bottom of the up-trending line.
Disclosure: I own AAPL options positions and may initiate
new positions in the next 72 hours.
About Michael Kudrna (http://michaelkudrna.com)
“The market can remain irrational longer than you can remain solvent.” James Maynard Keynes In an industry which caters to the greedy and already wealthy, it has become increasingly complex for the individual investor to find a path to success. “Buy and hold” is an inadequate investing philosophy yet has been promoted by Wall Street as the most successful style for the individual investor. Many intelligent investors have debunked this myth over and over again yet it is still endorsed by some and blinding a new generation of young investors. The reality is Wall Street wants to make money off you, not with you. Wall Street makes money by being better than you, not helping you. Selling is the most powerful and underrated ability for the individual investor. The ability to move in and out of a stock with speed, when necessary, is a major advantage over a large institution that would make large waves doing something similar. The idea is to create an investing style based around your own personality traits and amount of time. Through that, you can start to use the strengths that we, the individual investors, have. When this is accomplished, despite the times when the market acts completely illogical, you can still make money. Awareness is critical. A large drawback to the individual investor is finding quality information to base your investment decisions on. Unfortunately, in a greedy industry as such, most everyone else’s agenda does not benefit yours. Kudrna’s Stock Market Talk was created to build a community of like-minded individual investors who want to help one another rather than manipulate the novices. The chat-room is moderated unlike other sites. What you will find is we actually care and prove it every day. Follow us on twitter for updates and join the community by interacting in our live chat during market hours. Bring your research to the table and benefit from others research as well. Stick around and see why this has become the best community for the individual investor. It is simply because, “we actually care.” Good luck out there. Michael Kudrna Owner/Author Kudrna’s Stock Market Talk DISCLAIMER: Mike Kudrna and the information on his site are for educational purposes only. You should speak to your own financial advisor before making any decisions based on Mr. Kudrna’s opinions. Mr. Kudrna is not responsible for any actions you take upon reading his perspective and opinion. Keep in mind that positions that Mr. Kudrna has can change at any time without written notice.