Pressure Released Into A Breakout, Apple On The Edge

 | Aug 17, 2012 01:37AM ET

T2108 Status

: 73.6% (second day of fifth overbought period since June 29)
VIX Status: 14.3
General (Short-term) Trading Call: Hold.

Commentary
Last week, Apple broke out in convincing fashion . Today, in what I can only call one of those teases you have to see to believe, Apple closed exactly at its all-time closing high. Note that when this high was printed on April 9th, 2012, AAPL opened higher the next day only to close down on the day. That bearish move was the beginning of AAPL’s quick swoon to May lows. You can bet, I, and many other technicians will be following AAPL’s behavior even more closely from here…

Apple on the edge of a major breakout

Daily T2108 vs the S&P 500

Click chart for extended view with S&P 500 fully scaled vertically (updated at least once a week)

Black line T2108 (measured on the right); Green line S&P 500 (for comparative purposes)

Be careful out there!

Full disclosure: long SDS; long SSO puts; long VXX shares; short VXX calls; long SI calls and puts

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