AAPL Update

Yesterday I opened some additional Dec. $570 AAPL puts, even though price is higher now then when I posted that additional position, the puts are still in the green.

 The reason why the puts are slightly in the green with the underlying higher is because volatility has increased and made options more expensive, this is another reason we want to enter trades before they make their move, as close as possible of course, but chasing them doesn't make sense. If AAPL can gain a bit more ground (or really even hear) I think it's in a decent place to add a speculative put position. I personally wouldn't go short AAPL stock, but it may be worthwhile if this pullback tests the recent lows, that's about an 80 point move in AAPL, it's certainly less risk, but remember you may have to close it quickly when the time comes.

Believe it or not, the intraday bounce I said AAPL was showing signs of is pretty much only showing up in AAPL, most of the market averages are not showing a decent intraday positive divergence so AAPL again is a bellwether for the market.

When the reversal comes it should come pretty quick as the market averages aren't showing much, if you're not using 3C, but still want a decently fast pre-emptive warning of an impending reversal, you may want to watch the intraday NYSE TICK chart.

Note the trend lines I have drawn around the TICK, when the trend or channel is broken to the downside, your reversal is likely very close.