by Serge Berger | January 24, 2014 10:57 am
In looking at Apple (AAPL) last week, I anticipated a bit of follow-through buying. That didn’t happen, and now AAPL stock is in wait-and-see mode before Apple’s earnings report on Monday.
There’s not much to do from a swing trading perspective; all follow-through buying attempts of late have fizzled. Patience is part of the game of trading and investing. I have to remind myself daily that a healthy attitude toward this business means 1) understanding the degree of patience necessary; and 2) acknowledging and accepting the inevitable losing trades along the way (and viewing those trades as the cost of doing business).
With all that in mind, let’s walk through AAPL stock’s chart and see what levels we can map out for potential trades after Apple earnings are out on Monday.
Thursday we learned that Carl Icahn increased his stake in AAPL stock to $3.6 billion, and rumors began swirling that Apple will come out with larger-screen iPhones in 2014. AAPL stock rose 0.85% on the day in response. That’s no rally to write home about, but it did slide the stock back to more neutral territory ahead of earnings.
On the daily chart below I mapped out my first two support and resistance levels that I will be focusing on after Apple’s earnings report on Monday.
I hope these support levels help to map out a trading plan for post-earnings, and to give some perspective on the current crossroads of AAPL stock.
Like what you see? Sign up for our daily Beat the Bell e-letter and get investment advice delivered to your inbox every morning!
Learn more about the strategies Serge Berger uses to create profits in the market every day. Download his trading plan in the Essence of Swing Trading e-book by clicking here. As of this writing, he did not hold a position in any of the aforementioned securities.
Source URL: http://investorplace.com/2014/01/aapl-stock-back-neutral-awaits-earnings/
Short URL: http://invstplc.com/1nrV8PN
Copyright ©2016 InvestorPlace Media, LLC. All rights reserved. 700 Indian Springs Drive, Lancaster, PA 17601.