This Story Posted:
June 18th, 1999

 
 

[3:58 PM]
Apple Stock Watch: Apple Rides The SeeSaw Back Up With Small Gain
Apple's stock started another round of the seesaw it has been riding for the last few trading sessions by closing up today. Apple closed at 47 1/8, a gain of 3/4 or 1.62%. Volume continues to be low today, a trend which Robert Morgan of the RFI report says means that traders are accumulating the stock. Volume was 1,857,700 shares trading hands, well below the average of 4,613,227.

According to Mr. Morgan:

I'm sure there are a lot of people who would disagree with me, but the trading range that Apple has been locked into is more of a basing pattern than a topping formation. These low-volume trading days, whether up or down, AAPL.O remains under steady accumulation. I've been telling people to wait and watch for the day that AAPL surpasses its average daily volume.

Mr. Morgan also says that the stock is poised for another leap:

I'm likening this type of accumulation in Apple to the tightening of a spring. With each turn it's compressed and more latent energy is placed into the spring until you can't hold the energy in any longer. It just has to exert its force and turn that latent energy into kinetic energy. I believe the stored energy that is in AAPL is bullish and when it's released we'll see AAPL.O take out its old 52-week high on high volume. But I'll issue a caveat with that opinion: It's conditional on the fact that the general markets and/or tech sector don't unravel and that some other erratic doesn't dissipate all that stored energy.

We recommend you read Mr. Morgan's report if you are at all interested in Apple's stock.

Apple's PC Competitors saw mixed trading today as Gateway and Compaq both closed down while Dell, Gateway 2000, and IBM all closed up.

The Dow closed at 10855.56, an increase of 13.93. The Nasdaq closed at 2563.44, up 19.29.

Check out the Apple Stock Watch Special Report for more news on Apple's stock performance.

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