Tuesday, July 24, 2012

AAPL as the Fulcrum for trade

If not for tomorrow, at least for overnight and perhaps the early trade, although it could be a fulcrum for longer than a day.

Here are a few minor, but noticeable changes in AAPL today, right when ES is starting on its first leading positive divergence of the day.

 At first this 1 min chart just looks negative, but zoom in to this afternoon's activity...

 And you can see as AAPL make a new intraday low (always have to consider the head fake), 3C 1 min is making a series of higher highs, it may just be a 1 min timeframe, but it's still a change.

 The 2 min time frame is in a leading positive position, actually pretty impressive for this chart alone.

Now the 3 min is seeing some migration and has started a relative positive divergence.

I still would not choose to trade AAPL earnings, but if I HAD to guess, I would say AAPL may be used as a short term positive fulcrum in the market, followed by the earnings being looked at closer and the market giving up any gains.


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