BY MOVERMIKE AUGUST 9, 2009
As an iPhone Apple fan, I follow the chart of AAPL and the chart is saying I may have an opportunity to pick up stock at a 10% discount.
The first thing to notice on the chart is the red triangle displayed on Thursday. That’s a short-term sell in a long term up move. Both Monthly and Weekly Trade Triangles are green or bullish. I applied a Fibonacci retracement tool to the chart (not shown) and a 23.6% retracement would put the stock back on the 50 day sma and right on the bullish trendline. That equates to about $150, thus my 10% discount. One other thing that lends credence to the short-term sell is the MACD. I have drawn an arrow where it looks like its set to cross.
p.s. - You can give Mike a shout about his other free brief stock discussions via his public forum or via the public chat box on KhronoStock.com.
I’ll pick up a couple shares at that level, if we get there, thanks!.
what system uses the “trade triangles?”
Derek, INO.com has the Trade Triangle technology. It uses algos that signal the trend using the Monthly chart and the weekly and Daily charts for timing. They have a great track record and some free videos to check out. Try http://www.ino.com/info/36/CD3161/&dp=0&l=0&campaignid=9