The stock is an appealing short here, given the clarity of the played-out rally pattern shown. Accordingly, I’ll suggest buying four November 28 101 puts. They were 0.29/0.33 on the close, but you should bid no more than 0.26 for them if it the stock is buoyant at the bell. If the bid goes unfilled, adjust by inching it higher, but don’t pay up. Our goal, assuming AAPL falls from these levels, will be to short puts of a lower strike for as much as, or possibly more than, we’ve paid for the long side of the position. _______ UPDATE (November 10, 12:07 a.m.): After briefly popping above the rally target I’d flagged at 109.27, Apple screwed with our heads all week. Assuming you were able to buy the puts for 0.26, I’ll recommend tying them to a stop-loss at 0.16. As of Friday’s close all signs were pointing higher, with a Hidden Pivot rally target at 110.39 in prospect for the near term. _______ UPDATE (November 11): We exited the position for a theoretical loss on the trade of $40.
