Wednesday, January 25, 2012

AAPL Follow up

 AAPL at a 6.28% gain, giving up the opening gain of 8% and the after hours high of 11.5% from yesterday's close.

 Not surprisingly, 3C is not confirming.

Here's the same chart zoomed in with a negative divergence right off the open.

With some 200+ hedge funds bloated with AAPL shares, it's highly unlikely they'll be chasing AAPL up here, if they aren't selling on the news. As we saw last year with 34/35 consecutive weeks of retail outflow, retail with its diminished ranks will have a hard time pushing AAPL higher on their own. The question is did smart money already have leaked earnings and if so are they going to sell in to the demand or the other question, if they did not have leaked earnings, will they push AAPL lower to accumulate it? That's a question of sentiment moving forward, we'll just keep watching the underlying action, as RIMM proved, that tends to be where we find these answers.

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