Trade of the Day: Get Hungry for AAPL Stock Below $120

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Apple Inc. (NASDAQ:AAPL) — The unveiling of the company’s highly anticipated smartwatch on Monday was met with a chorus of skepticism. However, Apple has pioneered some of the greatest examples of elegant and functional information technology. In fact, when the company releases a product, people often don’t even recognize they have a “need” for it yet.

The foresight of its engineers has helped Apple become the largest company in the world by market capitalization. And the Apple Watch could turn out to be another huge coup for the company.

Apple has been one of the most successful Trade of the Day picks over the past two years. AAPL stock more than doubled from under $55 in April 2013 to just below $120 in November 2014.

Then, on Dec. 2, I again recommended traders buy AAPL stock between $100 and $106 for a run to fundamental analysts’ target of $120. My proprietary indicator, the Collins-Bollinger Reversal (CBR), flashed a buy signal on Jan. 6 at $104.63, and shares rose to $120 on Jan. 30.

From there, AAPL stock broke out, running to an all-time high of $133.60 on Feb. 24. Shares have since pulled back, trading in a tight bullish flag formation with support at their 50-day moving average at $119.

Fundamental analysts, like Credit Suisse Group AG (NYSE:CS), have a target of $140 on AAPL stock, which will be our technical target as well. Thus, buying shares on a pullback to $120 could result in 17% gains. Longer-term investors should hold AAPL stock for a much higher return.

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Article printed from InvestorPlace Media, https://investorplace.com/2015/03/apple-inc-aapl-trade-day/.

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