Apple vs. the Stock Market

Apple can carry the stock market on its back, but not indefinitely. Yesterday we saw the stock leap for the second straight day while the broad averages languished. The rally left it just $16 from a $660.26 target we used to make a bullish bet last week via butterfly spreads centered on the 660 strike. The target should be easily achieved if the stock market shows any buoyancy at all, but traders should be careful about buying into the S&Ps, since my rally target for them is just a few points above Wednesday’s settlement price.