It was three weeks ago that Goldman Sachs’ best and brightest put the knock on Apple, sending the stock into a 22-point dive that elicited barely a yawn in these precincts. We can be sure they had their reasons, but it is unlikely anyone at Goldman was actually bearish on the stock. More likely is that they wanted to beat it down in order to shake loose a few shares at relative bargain prices. The low of the move was around 265, but it had no effect on a 313 rally target I’d disseminated to subscribers with the stock trading nearly $40 lower. Rick’s Picks stood by this very bullish prediction, however crazy it may have seemed at the time, for technical reasons. Specifically, AAPL had obliterated a midpoint Hidden Pivot resistance associated with 313 on the way up. Major and minor targets have changed slightly since, and there is still one at 347.24 if the short-squeeze goes out of control. More immediately, look for the stock to hit 308.50, or if any higher, 322.86. Both of these Hidden Pivots are shown in the chart. _______ UPDATE (May 11, 4:27 p.m.EDT): Hidden Pivot targets are now beside the point, since a rendezvous with all-time highs near 328 has become the main thought on traders’ febrile brains. Here’s a chart, also presented in the update to my commentary, that shows the muscular reverse head-and-shoulders pattern that currently holds sway. As always, we need only get AAPL right to get the stock market right.
AAPL – Apple Computer (Last:315.01)