Apple (AAPL) Finds Support at 50-Day MA

US markets finished mixed again Tuesday, avoiding losses across the board thanks to a late-afternoon rally. The Dow dropped 0.24% but the Nasdaq and and S&P eked out gains of 0.21% and 0.09%, respectively. European headlines continue to weigh down world markets amid reports that a Spanish aid request is not close.

Healthcare stocks were the top performers on the day, especially biotech stocks Amgen (NASDAQ:AMGN) and Gilead (NASDAQ:GILD) which surged 1.5% and 2.5%, respectively. The telecom sector was also strong amid M&A speculation, with MetroPCS (NYSE:PCS) the big winner up 17.8%.

Apple (NASDAQ:AAPL), after early morning weakness, faded most of the day until the last hour. We had been targeting the 50-day MA as a likely destination for a pull-in, and AAPL kissed perfectly off that level today. AAPL actually closed back above yesterday’s low, and could bounce back up into its 21-day in the short-term. Today’s high and low are your new short-term references to trade against.

Google (NASDAQ:GOOG) continues to hold up best among the tech leaders, and only fell down into its 8-day MA for the first time in more than two weeks. The fact that GOOG held that 8-day MA level can keep the speed of the rally intact, but don’t get greedy after a big run over the last few months.

Disclosure: Scott Redler is long FB, AAPL. Short SPY.

About Scott Redler 367 Articles

Scott Redler is the Chief Strategic Officer of T3 Live. He develops all trading strategies for the service and acts as the face of T3 Live. Mr. Redler focuses on thorough preparation and discipline as a trader.

Mr. Redler has been trading equities for more than 10 years and has more recently received widespread recognition from the financial community for his insightful, pragmatic approach. He began his career as a broker and venture capitalist where he was able to facilitate relationships that led him into trading. Beginning his trading career at Broadway Trading in 1999, Mr. Redler moved on with Marc Sperling to Sperling Enterprises, LLC after establishing himself as one of the best young traders in the firm. As a manager at Sperling Enterprises, continued to trade actively while working closely with all traders in the firm to dramatically increase performance.

Mr. Redler has participated in more than 30 triathlons and one IronMan, exhibiting a work ethic that also defines his trading. His vast knowledge and meticulous attention to detail has led to regular appearances on CNBC, Fox Business, Bloomberg, and he is a regular contributor to Minyanville and Forbes’ Intelligent Investing blog. He has been quoted in the Wall Street Journal and Investor's Business Daily, among other publications.

Scott received a B.B.A. in Marketing/Finance from the State University of New York at Albany, graduating Magna Cum Laude from Albany's School of Business.

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