The stall yesterday precisely at the 126.41 midpoint resistance shown (see inset, a fresh chart) has validated the pattern, although it is insufficient reason to assume AAPL will get past it. If it does, and decisively so, we can infer that the rally has enough power to reach the 130.22 target. With implied entry risk of almost $2, however, I’d suggest climbing aboard using ‘camouflage’, implying finding a tradable pattern on a chart of 5-minute degree or less. _______ UPDATE (9:59 a.m.): The stock trapped bulls on the opening with a nasty head-fake to 126.49 that only slightly exceeded the crucial midpoint resistance noted above. The stock has fallen since by 1.29, testing the mettle of bulls trying trying to stay aboard. _______ UPDATE (March 31, 10:39 p.m.): With index futures getting hammered, Apple looked relatively placid shortly before midnight. If the stock falls hard in sympathy with a plummeting market, however, look for an attempt to get traction at 122.86 (180-min, A= 128.04 on 3/24; B=120.80 on 3/26). A failure of that support could spell more trouble all the way down to 119.24. Alternatively, it would take a print at 129.58 to suggest that the correction begun five weeks ago from $133 is over. ________ UPDATE (April 2, 12:03 a.m.): The intraday low missed my 122.86 target by 24 cents, not nearly close enough to get us long at the bottom. The good news, sort of, is that the stock went nowhere thereafter. The 119.24 target mentioned above is still valid, but Apple would need to hit 125.13 today to put bears on the defensive.
