MURDER SHE WROTE STARRING AAPL
There is an entire generation of cell phone and internet driven youth that has come of age watching the lurid filth that modern day television provides. Gone are the days of quality programming like Murder She Wrote starring Angela Lansbury. I have never watched a single episode of this show, as I preferred shows like Silver Spoons and reruns of CHIPs growing up in the 80s. However, flipping through all 12 channels of cable television, seeing Angela Lansbury sitting at her dimly lit desk, fingers clicking away on a typewriter, was an unavoidable and at the same time comforting consequence of my youth.
I could wrap in a cool analogy at this point to firmly implant AAPL in some way, shape or form into either Angela Lansbury or the show she starred in. However, I will spare you that injustice. I simply liked the title and felt like typing a paragraph about 80s television programming. Now onto AAPL.
If you will recall on January 23rd, I posted this chart outlining a target I had in mind for AAPL over the short to intermediate term, as well as the long-term. The price of AAPL was 514 at the close of the 23rd. However, I put this chart together after earnings had already been announced, with the stock trading somewhere around 470-480 afterhours.
Here is a look at the chart posted on January 23rd, showing a short to intermediate term price target for AAPL of 400-420:
AAPL
It does seem that the lower end of that target (based on red trajectory) is in play. In fact, the trajectory currently sits at 390, which seems like a perfectly reasonable downside target. Breaking another round number, after plunging through 500 just a little over a month ago, will set up psychologically depressive havoc in the stock that may just be the proper formula for the process of bottoming to commence.
Now notice, I did say the PROCESS of bottoming. And it will be process. In either case, whatever bounce we get starting in the next week or so will likely dissipate by mid-May. The bottom line is that the bearish side of the bet on AAPL is getting close to running its course. Downside from here is roughly 30 points give or take 10 either way. Upside over the next couple of months is 460, perhaps 480.
Here is the technical look as of the close today:
AAPL Weekly
