AAPL Thrust Exhausted?
AAPL’s “major” parabolic rip occurred between Feb and Apr 2012, from 470 to 644, prior to a 6-week bout of weakness that pressed the stock back to the 529 area.
From a pattern perspective, all of the upside action from the May 18 low at 538.66 into today’s new high near 665 does not — despite its power — exhibit the form indicative of a new upleg.
The February-April vertical advance, however, did exhibit bull-market upleg characteristics.
Where does that leave me?
As of this moment, my work identifies a window of risk between 671 and 688, from where, or below which, I am expecting the current up-move in AAPL to peak and reverse sharply.
Only a sustained closing climb above 690 will totally invalidate my current outlook, and will point AAPL to 700-750.
At this juncture, failure to continue higher, followed by a decline that breaks 659.80, will represent an initial signal that the current thrust is exhausted.
2012-08-20 14:09:03
Source: http://www.traderslog.com/forum/showthread.php?t=20935&goto=newpost
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