AAPL Update

Friday I put out this trade alert for AAPL long right about at the lows of the day and followed up with these charts of AAPL. I even considered AAPL to be worthwhile as an option play or a straight equity long position.

I believe, although we've seen some volatility and what would seem like the apparent move toward the symmetrical IHS bottom targets, we're still a bit too volatile in some of the averages and I suspect, although I need to confirm, that they'll likely (or at least a couple) consolidate a bit at some point today before finishing their task; chief among them is the QQQ which AAPL has significant weight. I looked at AAPL and thought today it looked like it was in a bit of a holding pattern  (still a decent area if you are interested in AAPL long for a swing-type trade), this would make perfect sense considering the QQQ looks like it's not quite done in this area (whereas the SPY in particular looks like the whole market is ready to roar just looking at that average alone).

Lets take a look today thus far...

This is the QQQ Inverse Head and Shoulders (IHS) bottom, it could be ready to go from here, but I still suspect it has another right shoulder to put in, a bit more defined than the last attempt from this morning.

If AAPL moved now and the Q's weren't ready, being AAPL is nearly 20% of the NDX's weight (about the same as the bottom 50 NDX stocks combined), the Q's would have trouble finishing up their job.

 AAPL breaking serious support and opening up significant volume/supply at excellent prices, this also creates a head fake move for all the Twitter shorts to get burned by and therefore propel AAPL even higher, faster.

As you can see the AAPL 10-min 3C chart has made progress today.

 The 2 min chart has made progress today, but...

 The intraday chart is starting a new intraday divergence that looks like AAPL will consolidate at this point.

 We can also see that even though the 15 min chart is beautiful, it hasn't made additional progress (a new higher high) today, that stopped at the 10 min chart and with the 1 min now going slightly negative, it should peg AAPL in place until their ready, this is why I still consider AAPL a buy here, but not for options as downside momentum is what we want in opening those positions.

 This consolidation pattern is totally wrong, but traders will choose to interpret it any way they want as usual, it's a bullish ascending triangle, but in the complete wrong position, so traders who are bullish will view it bullishly, traders who are bearish will point out it's in the wrong spot, I personally think it's a random pattern from consolidation movement and means nothing.

 The recent AAPL shift above the 5 min/50 bar m.a. is a nice start, I'd like to see it hold, but even if it pops below briefly it's not that much of a concern.

 The 5 min momentum chart shows the kind of signals expected for intraday consolidation, however...

The more important 15 min momentum chart shows AAPL has turned a corner, I'd say just be patient and if you are interested in AAPL long stock, this is just as good a place as any, for calls I think you need some downside momentum to lessen the premium.