Is Apple Stock Price a Blow Off?

By: WavePatternTraders

Anyone that has studied the markets for a length of time, should really have seen many examples of a blow offs over the past 10 years or so, there appears to be a characteristic that you see just before the eventual reversal.

It's usually a large bodied candle that far exceeds anything that was previously seen.

Today AAPL exhibits that characteristic, and if history is our guide, then AAPL is in blow off territory.

So if you are long AAPL, I strongly suggest locking in gains and even taking partial profits, as history has a habit of reversing these types of moves and the reversals are aggressive and strong as everyone runs for the same exit.

If AAPL does reverse, you can bet "no one saw it coming" will be the headline.

Yet just looking at the DNA of many previous blow off style type of moves in many commodities even as recent as the gold and silver manias in 2012, you can see that prior to a reversal you get a strong upside large bodied candle that dwarfs anything seen.

Apple is now trading like a commodity and history shows when you see parabolic moves like this, it ends badly.

So my conclusion is that just like I was advising traders to get out of gold and silver in the blow offs we saw in 2012, I strongly suggest traders now look for an exit, or at least lock in stops.

Until next time.

Have a profitable week ahead.

Click here to become a member

You can also follow us on twitter

What do we offer?

Short and long term analysis on US and European markets, various major FX pairs, commodities from Gold and silver to markets like natural gas.

Daily analysis on where I think the market is going with key support and resistance areas, we move and adjust as the market adjusts.

A chat room where members can discuss ideas with me or other members.

Members get to know who is moving the markets in the S&P pits*

*I have permission to post comments from the audio I hear from the S&P pits.

If you looking for quality analysis from someone that actually looks at multiple charts and works hard at providing members information to stay on the right side of the trends and making $$$, why not give the site a trial.

If any of the readers want to see this article in a PDF format.

Please send an e-mail to Enquires@wavepatterntraders.com

Please put in the header PDF, or make it known that you want to be added to the mailing list for any future articles.

Or if you have any questions about becoming a member, please use the email address above.

If you like what you see, or want to see more of my work, then please sign up for the 4 week trial.

This article is just a small portion of the markets I follow.

I cover many markets, from FX to US equities, right the way through to commodities.

If I have the data I am more than willing to offer requests to members.

Currently new members can sign up for a 4 week free trial to test drive the site, and see if my work can help in your trading and if it meets your requirements.

If you don't like what you see, then drop me an email within the 1st 4 weeks from when you join, and ask for a no questions refund.

You simply have nothing to lose.

By Jason Soni AKA Nouf

© 2012 Copyright Jason Soni AKA Nouf - All Rights Reserved

Disclaimer: The above is a matter of opinion provided for general information purposes only and is not intended as investment advice. Information and analysis above are derived from sources and utilising methods believed to be reliable, but we cannot accept responsibility for any losses you may incur as a result of this analysis. Individuals should consult with their personal financial advisors.

© 2005-2022 http://www.MarketOracle.co.uk - The Market Oracle is a FREE Daily Financial Markets Analysis & Forecasting online publication.