Apple being downgraded

[Andre Marc]

See today, market back up..what changed from yesterday? It is a good amount of automated profit taking and manipulation IMO.

 

[Steve Williams]

Andre

I don't follow your argument. Buying and selling occurs daily whether by brokers, day traders etc

 

[Steve Williams]

Andre

I don't follow your argument. Buying and selling occurs daily whether by brokers, day traders etc

 

[Andre Marc]

Hi Steve:

I guess I did not explain my position clearly..it does seem a bit like a general statement.

What I meant was we have entered into an era of automated profit taking in that computer based trades are being triggered on a mass scale by the Hedge Funds and
large proprietary traders based on arbitrary economic indicators. This is a new development. The NY Times did a study on volatility and the last 3 years have seen the widest swings in history, even marking weeks
of 600 point swings.

I believe this is very unhealthy for so called "markets". Actually, to go further on a rant, I don't believe we have markets by the definition of the word. We now know that Hedge Funds and large investment houses have
been trading on illegally obtained information for years based on their "networks". Basically they have engaged in insider trading and bribery unscathed.

I guess I feel the pain worse because I am a buy and hold investor and these massive swings are not very appetizing.

Andre

I don't follow your argument. Buying and selling occurs daily whether by brokers, day traders etc

 

[amirm]

http://community.nasdaq.com/News/20...mmune-to-european-turmoil.aspx?storyid=132998

"If the U.S. economy continues to show signs of weakening and the sovereign debt situation in Italy and Spain begins to worsen, then combined with a bearish technical picture, Apple, Inc. may be setting up for a sharp, but reasonable correction."

 

[Steve Williams]

http://community.nasdaq.com/News/20...mmune-to-european-turmoil.aspx?storyid=132998

"If the U.S. economy continues to show signs of weakening and the sovereign debt situation in Italy and Spain begins to worsen, then combined with a bearish technical picture, Apple, Inc. may be setting up for a sharp, but reasonable correction."

I hope so because then it will be a great opportunity to buy Apple stock

 

[andromedaaudio]

I hope so because then it will be a great opportunity to buy Apple stock

You sound like a warren buffet , always buying the dips

I did index options /futures trading , quite exiting but the more i won the harder i gambled

 

[Phelonious Ponk]

I'm sure it can happen, but if it does, it won't be Apple's "sharp, but reasonable correction." It will be a company that has done nearly everything right in creating, then dominating huge comsumer segments, being drug down in a general market correction. Apple's value, unlike much of the markets, is reality-based. And that reality will eventually find its leel again. As Steve says, a great opportunity to buy Apple stock if it happens.

Tim

 

[Steve Williams]

I'm sure it can happen, but if it does, it won't be Apple's "sharp, but reasonable correction." It will be a company that has done nearly everything right in creating, then dominating huge comsumer segments, being drug down in a general market correction. Apple's value, unlike much of the markets, is reality-based. And that reality will eventually find its leel again. As Steve says, a great opportunity to buy Apple stock if it happens.

Tim

anyone who doesn't seize the opportunity should this happen might lose out on a golden opportunity

 

[Orb]

http://community.nasdaq.com/News/20...mmune-to-european-turmoil.aspx?storyid=132998

"If the U.S. economy continues to show signs of weakening and the sovereign debt situation in Italy and Spain begins to worsen, then combined with a bearish technical picture, Apple, Inc. may be setting up for a sharp, but reasonable correction."

Heh, if that happens then all of us holding any stocks will notice a big drop.
Apple/IBM and a few other companies hold up better than most stocks.

Cheers
Orb

 

[amirm]

Heh, if that happens then all of us holding any stocks will notice a big drop.

Yup. Hence the reason my banker says we better be prepared for more volatility. He is investing in bonds and stocks that pay dividend as to "pay to wait."

 

[Orb]

Just to add, for an indication if a stock weakens to the sovereign debt situation it can be worth checking to see how the stock price performed mid and late 2011 and how strong they recovered.
In trend they are similar but Apple (IBM in longer term picture as it has a short term reaction) is very strong in its support.
Use the 1Yr timeframe and 1day.
Couple of others for comparison:
http://uk.reuters.com/business/quotes/chart?symbol=AAPL.OQ
http://uk.reuters.com/business/quotes/chart?symbol=IBM
http://uk.reuters.com/business/quotes/chart?symbol=KFT
http://uk.reuters.com/business/quotes/chart?symbol=PG
http://uk.reuters.com/business/quotes/chart?symbol=T

Anyway I think many stocks will be volatile for the next 3 months now, usually the ideal time for stocks is December through to mid-end February before a correction, and that slight correction will be compounded with the sovereign debt situation.
Cheers
Orb

 

[Orb]

Yup. Hence the reason my banker says we better be prepared for more volatility. He is investing in bonds and stocks that pay dividend as to "pay to wait."

Yeah agree that is a good way and big funds it seems follow this route as well.
Just hope inflation does not become a nightmare.
Me, I am a sucker for a deal in the AIM market but very careful on stocks chosen, still very risky even being selective.
Cheers
Orb

 

[Orb]

Todays results from Apple.
Notice the stock price dropped before announcement but very strong results, should be a good year but definitely feel they are going to be squeezed by competition end of 2012 and find it much more challenging 2013 with their competitors than it is now.

Apple 2Q Net Up 94% On Strong IPhone, IPad Sales:
http://www.nasdaq.com/article/apple-2q-net-up-94-on-strong-iphone-ipad-sales-20120424-01810

Edit:
Just to add while the SP dropped before announcement, looking good for those holding the stock at the moment after hours

Cheers
Orb

 

[RogerD]

The valueline index,that topped back in May 2011 with 5 wave down in to the october low(btw tracked the Nikkei average perfectly). Now has a possible 3 wave countertrend move into this April top. This possible top sports a head and shoulders formation with a possible 5 waves down off the top. Now the ongoing rally looks to be counter and a move up to the top of the range should complete the pattern top. If this is a cycle wave 2 top,expect a very swift decline back to the october bottom atleast or lower.FWIW,YMMV

http://screencast.com/t/nf8HTHTQJc3

 

[rblnr]

I hope so because then it will be a great opportunity to buy Apple stock

Agreed, and bought some more today as it dipped to my strike price. None of the downgrade arguments have made any sense to me.

 

[Orb]

The valueline index,that topped back in May 2011 with 5 wave down in to the october low(btw tracked the Nikkei average perfectly). Now has a possible 3 wave countertrend move into this April top. This possible top sports a head and shoulders formation with a possible 5 waves down off the top. Now the ongoing rally looks to be counter and a move up to the top of the range should complete the pattern top. If this is a cycle wave 2 top,expect a very swift decline back to the october bottom atleast or lower.FWIW,YMMV

http://screencast.com/t/nf8HTHTQJc3

Just to add, another factor is market sentiment and when a company has results like Apple just had, well this can have a strong positive effect on the SP for one quarter.
But like all stocks, they behave in a wave pattern even when increasing.
Cheers
Orb

Edit:
Just to add some balance to my post and how I feel, I would start to get nervous holding these the closer the company gets to the 1tn market cap.
If they accelerate upwards aggressively then my concern is that when the drop eventually happens it will be fast.
Worth remembering large cap companies can only grow so much, and then the market corrects them (look at how Cisco turned due to such concerns).
So, it makes sense all investors have a strategy-plan for when they intend to sell, but I still feel Apple can have a very good 1st half to July/August 2012 before having to take this into consideration and the factors mentioned before.

 

[Steve Williams]

http://money.cnn.com//2012/04/24/technology/apple-earnings/index.htm?section=money_news_companies

http://www.pcworld.com/businesscent...oom_pushes_apple_to_firstquarter_records.html

 

[Soundproof]

I'm headed to be collecting on my Apple at 1.600 bet.

 

[RogerD]

Dangerous market IMHO

The 28th day after a top has a fibonacci relationship as the same 28th day marked a secondary top in 1987. Not trying to scare anobody here,just calling it as I see it. The world economies are slowing rapidly and this market historically is extremely overvalued by any measurement.

http://screencast.com/t/Gx4xE7lG40xB

The $NYA Daily

http://screencast.com/t/nOizKqwuaSc

The Dow daily chart....wave "e" ending???

http://screencast.com/t/nKxU3f5NLb