Sunday, 27 November 2011

Apple Inc. - As the leader goes, so goes the market?

Apple Inc. looks poised to test its 50day MA on the weekly chart this week. On the daily chart, Apple is in the midst of forming a potential H&S pattern. Price action had already broken its neckline and is now testing its last major support at the 200day MA.

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On the weekly chart, Apple had a potential double top formation with spikes in volume. A break of the crucial $357 level which happens to be the neckline would see sellers coming in.

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