Apple’s recent rallies have been subdued, but that’s saying something, considering the inability of the broad averages to get in bullish gear. Yesterday the stock tripped a ‘buy’ signal at 125.42 by gapping through it. This usually means the stock is all but certain to reach the midpoint pivot, at least — in this case 129.22 — but it’ll need to do easily to suggest that the path is clear for a follow-through to 136.80, the target of the pattern shown. If you’re not already on board by then, the easiest way to do so would be with a ‘mechanical’ bid at 129.22 after AAPL has exceeded this pivot by at least $1.50-$2.00. If you’re able to buy there on a pullback, place a stop-loss at 126.69. _______ UPDATE (March 18, 9:48 p.m. EDT): Yesterday’s rally stalled at 129.16 — six cents from the midpoint resistance I’d flagged. A decisive move past it would put the 136.80 target well in play._____ UPDATE (March 19, 11:46 a.m.): Apple has fallen $1.40 so far today after topping at 129.25 — three cents from the target flagged above. We can’t know yet whether this will prove to have been the bull market’s last gasp, although I doubt it. In any case, we do know that if the stock now reverses and pushes decisively above the 129.22 pivot, AAPL will become an odds-on bet to run up to exactly 136.80. In the meantime, there are a few good ways to trade this: 1) you are already short from within 3 cents of today’s high; 2) you can get long via camouflage following a minor impulse leg that decisively exceeds 129.22; or, 3) you can get long on a pullback to 129.22 after the stock has traded up to 131 (or so). This can be done either with a mechanical bid/stop or via camouflage. If you take a position, or have taken one already, please let me know in the chat room and I’ll establish tacking guidance._______ UPDATE (March 20, 12:22 a.m.): The stock topped yesterday at 129.25, three cents above the pivot noted above, so the jury is still out. If minor, corrective abc patterns are weak in the days ahead, meaning they do not reach their ‘d’ targets, that would be telegraphing a bullish reversal.
