AAPL Update

Guess who is still underperforming? AAPL, red on the day, but that may be about to change and I hope it does so I can re-position. Remember, in the Financial post I said I thought a rotation to Tech is very well possible.

 This move in AAPL below support obviously triggered some stops and maybe some short trades, this is an ideal place for AAPL to bounce from and shakeout those pesky shorts. Remember that nearly all reversals start with a head fake move and this break below support and move back above qualifies.

 Look at the 1 min chart since the break of support, and why not, all of those who were stopped out gave their shares to Wall Street on the cheap and whoever shorted will just be fuel for an upside move.

 AAPL 2 min shows 2 positive divergences.

 Longer term the 5 min chart is quite negative. I suspect there's a wholesale shift in hedge fund positions in AAPL going on.

 A closer view of the 5 min shows two positive divergences, again, an ideal spot for AAPL to stage a rally after several days of underperformance, which certainly would effect long's perception of AAPL.

 Longer term, the 30 min above and 60 min below look the worst I have ever seen them in AAPL, once again suggesting hedge funds (like Loeb's I mentioned) are moving out of AAPL.

I'm a bit anxious to get a pop in AAPL, I'll be looking to sell that short with Puts, I also think if there is rotation in to tech, AAPL will likely be the one stock that we can look to for timing the end of the bounce.