Apple Inc (AAPL)

[BYUINSDER]

Monday Commentary/Analysis $534.99 crucial pivot point this week.

Trading index TRIN closed at 1.23 on Friday. Tick closed + 329

Apple on 15 minute time frame, is trying to make bottom, $531.11 is finding some buying interest. BUT!

From Elliott Wave Perspective: 571.88 high - 552.47 = 19.41 points.

This would be wave 1 of potential five wave structure that's still unfolding.

Wave 3 of five wave structure: 561.23 - 533.00 = 28.23 points

Volume totals with third wave, met the Elliott Wave rules. Volume was larger than Wave 1

Today, Monday will be 13 trading days from $571.88 highs, which is a matching number.

If Wave 1 = Wave 5 Apple would travel to $527.23

So basically, there is very short term risk of Apple shares trading lower, but $530.00 level is pivot support level, so its very common and expected there will be inst investors buying currently.

Basically, once Apple clears with close above $534.99 pivot..the sell off is complete.. And one can expect rebound higher.

Now, psychology certainly plays major part in the equation.

Jan 27 earnings
Recent downgrade by Standpoint Research based on morals reasons, which I don't feel the money managers take seriously.

Price Channel on weekly and Daily, Apple is testing major uptrend channel.

Using TC 2000 software, Balance of power indicator, on 5 minute to 15 minute time frames, GREEN which means strong buying interest is being observed by the software.

Conclusion: Apple hitting levels currently which makes for low risk trade opportunity.

Keep your eye on the $534.99 resistance, and lower support level of $527.23

Good luck trading today!