AAPL Update

Yesterday we didn't see any volume on the break of support of the bearish descending triangle, I suppose it was because no one wanted to commit to a short position before earnings or stop out. However with a price pattern like that, we would expect a break below it as it is just too obvious in the most watched stock in the market, today we saw a more definitive break. So far we do have the signals in place to suggest it is a head fake move/break, they need to hold up a bit longer a some of the longer chart/timeframes need to catch up and show they are still in positive position.

With the test in the other averages of support (and those are obvious as well so a break below them would be expected-Q's already have to some extent as well as the SPY to a lesser extent) AAPL seems to be finding some support.

 The bearish triangle, most traders won't commit to a short position without confirmation, the actual break below, that is what sets up a head fake move or a bear/bull trap. Yesterday's small break produced no reaction as noted yesterday, today's did.

 And a second smaller volume surge on a break of intraday support.

 AAPL 1 min is holding up well on this break and would suggest it is a false move.

The 5 min chart is also holding up well, it should be caught up by now, but I'll keep watching it a bit longer.

Both would suggest that this is a false break. As mentioned yesterday (again), more than 80% of the reversals we see have a false break or head fake move just prior to the reversal.