Let’s get going!

I’m curious if the acquisition of Lala or the favorable NYT article Sunday will provide some lift to AAPL.

There was a lot of online speculation as to the selloff last week—none of it very convincing.  AMZN had a similar decline w/AAPL on Friday, albeit less percentage-wise. 

It’s most vexing…

Mercel - 06 December 2009 10:17 PM

I’m curious if the acquisition of Lala or the favorable NYT article Sunday will provide some lift to AAPL.

There was a lot of online speculation as to the selloff last week—none of it very convincing.  AMZN had a similar decline w/AAPL on Friday, albeit less percentage-wise. 

It’s most vexing…

There were a lot of moving parts last couple of days:

BAC paying back TARP, raising capital and SPX rebalance
Jobs report caught about 95% of people off guard
$ started some major moves and to some extent broke away from it’s inverse trade with the indices
Markets been trading purely on technicals but the jobs report has raised the fundamental outlook
Markets overreacted to the Fed raising rates soon (pathetic to even hear this argument yet-  they have programs that need to wind down, reverse repos, you name it, not just rates)
Dubai happened one week ago
Technicals on aapl, other leaders pointed towards a double top

Bottom line I think there are a lot of deer in the headlights right now trying to figure out what’s next.  If you are a long, be thankful for that jobs report.  It was a very positive for the economic outlook.

Mercel - 06 December 2009 10:17 PM

I’m curious if the acquisition of Lala or the favorable NYT article Sunday will provide some lift to AAPL.

There was a lot of online speculation as to the selloff last week—none of it very convincing.  AMZN had a similar decline w/AAPL on Friday, albeit less percentage-wise. 

It’s most vexing…

Negative divergences finally kicked in. It’s a pure supply demand equation imo.

-ernie

runedge - 06 December 2009 11:09 PM

Markets overreacted to the Fed raising rates soon (pathetic to even hear this argument yet-  they have programs that need to wind down, reverse repos, you name it, not just rates)
Dubai happened one week ago
Technicals on aapl, other leaders pointed towards a double top

Bottom line I think there are a lot of deer in the headlights right now trying to figure out what’s next.  If you are a long, be thankful for that jobs report.  It was a very positive for the economic outlook.

Seems like the market wanted to like the jobs report, but the good news gave way to the worry of higher rate talk, looming large with Bernanke talking today.  I’m betting Bernanke will say the right things, then the market sees a little bounce.  I’m hoping anyway.

Looks to be yet another ugly day… PM started quite ugly… Who ever’s selling for whatever dam reasons seems to be determined to sell some more.

I can not believe this! When will it stop?
Will we see 200 again before end of the year?

Is this all option-related?

edit: auh!!!!!!!!!!

Where is all the selling pressure coming from?  It’s probably as Runedge reported, from multiple points.  But they don’t seem to add up to this kind of movement…

Wow - someone really wants to get rid of this stock in his portfolio.

188! Holy Moly. I am waiting for 185s before getting back in.

This sell off seems AAPL related - not like Friday. Besides GOOG most other tech stocks are up. Even AMZN is only down a bit.

someone with a bunch of 200 Dec and/or jan2010 puts?

I should have known better, I need to avoid these big round numbers!!

N.L. - 07 December 2009 09:36 AM

I can not believe this! When will it stop?
Will we see 200 again before end of the year?

Is this all option-related?

Probably not just OE, but OE is one. 
Also year end sell-off of gains so that taxation takes place this year rather than next (some uncertainty about tax rates etc in 2010.)

Plato - 07 December 2009 09:43 AM

This sell off seems AAPL related - not like Friday. Besides GOOG most other tech stocks are up. Even AMZN is only down a bit.

Agreed.  And yet AMZN has a rarefied P/E of 80!

Play Ultimate - 07 December 2009 09:49 AM

N.L. - 07 December 2009 09:36 AM

I can not believe this! When will it stop?
Will we see 200 again before end of the year?

Is this all option-related?

Probably not just OE, but OE is one. 
Also year end sell-off of gains so that taxation takes place this year rather than next (some uncertainty about tax rates etc in 2010.)

Tax rates are unlikely to change in 2010.  It’s 2011 that the Bush rates sunset and revert back automatically.  Top rates of 35% reverts to 39.6%.  Of course, Congress could decide to do something else, but I don’t think 2010 is the year for retroactive changes.

Regardless of the cause look at a one minute chart when we popped down to 188 range - nice bottoming tail hammer with good volume.  Tells me the stock has a floor (190-185).  Tempted to add but won’t add until (and if) we see 185.  Markets are looking great other than aapl.  GS under some pressure.  If you don’t believe in this market and feel a big correction is due you’d be shorting aapl and gs IMO…

Since Willrob is absent:

R2: 204.09
R1: 198.71
PP: 194.49
S1: 189.11
S2: 184.89

FYI - I am only following 2 points of resistance and support on my chart - the other 2 points are too far out for my taste to be relevant on the daily.