AAPL Update

Early trade is always deceptive, especially on Monday as traders/investors who have real jobs place limit orders and stops and the market spends the first hour or so running them every which way. The European data overnight is seemingly starting to stink a bit more than it did earlier, Portugal looks like it will need another bailout and probably a Greek-style debt restructuring, you remember what we talked about with regard to how the EcB created a subordinated bond market when they accepted the new Greek bonds with no haircut like everyone else and how I thought that would come back to bite them in the butt, well Portugal may test that theory.

However the market didn't really sink much more on the very ugly Chi-town PMI data so they are still running the a.m. games and possibly still the volatility shakeout (the larger one).

As for AAPL, the market's last chance as it is really starting to fall apart now...

 The Friday positive divergences on the 1 and 2 min charts above and below are still intact, the drop in AAPL was NOT confirmed on the early charts.

Whether this 5 min which shows the distribution of the AAPL gap up can hold a relative positive divergence we will see shortly.

The SPY needs to hold in the area of this a.m.s lows and put in a stronger ivergence than the initial one today