Tuesday, June 25, 2013

Adding AAPL July $400 Calls to Yesterday's AAPL Equity Long

These are just to give the equity long a little boost that I obviously can't at 2 or 3 x leverage.

I like what happened when AAPL crossed below yesterday's close today and below $400. I like the fact that the divergence is now showing up on 15 and 30 min charts, I noted yesterday and I think last night that Institutional money didn't get the volume I think they were hoping (and the volume they'd need to enter a long position undetected) on the break of the two triangles (large one and small one), but the break of the psychological $400 level did it, since that break, the 15 + 30 min charts have gone positive so if you ever wonder who took the other side of the trade because someone has to, I think the 15/30 min charts answer that and I like where AAPL is sitting.

 AAPL 1 min

5 min-I think the divergences are obvious.

The overall 10 min since we first saw that suspicious triangle. By the way, I think AAPL easily moves above that triangle before it is all said and done.

The 15 min chart as AAPL took out stops and orders <$400

And it's quickly spreading to the 30 min chart.

Underlying action has to be strong enough to show up on these charts, this would mean the move under $400 was likely very heavily accumulated between all of the supply from sellers and short sellers-it's all supply and that's all Wall St. needs to enter.

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