It is well enough that people of the nation do not understand our banking and monetary system, for if they did, I believe there would be a revolution before tomorrow morning. Henry Ford

Those who surrender freedom for security will not have, nor do they deserve, either one. Benjamin Franklin

The idea that you know what is true is dangerous, for it keeps you imprisoned in the mind. It is when you do not know, that you are free to investigate. ~ Nisargadatta Maharaj

Sunday, 20 December 2009

This chart shows equality in the price and time ranges for the most recent rally and the one that preceded the previous top,so there is time resistance as well as price resistance.Also the time factor is a "natural" cycle,one year.Two attempts to break 200 have failed.Using Gann's rule we can short Apple if it fails on the 3rd attempt,or buy it if it breaks out.
The U-tube video points out that after a breakout a stock should not retreat more than 3 points below the breakout level,yielding a natural stop loss level eg 4 points away.
I believe Apple is more likely to fall from here in which case the stop could be 4 points above the last high.Weekly MACD (not shown) is rolling over.

No comments:

Post a comment