Apple (NASDAQ:AAPL) finally triggered short below the $419-420 pivot this morning and is down almost 5%. I’m glad it didn’t happen premarket because I, along with others, was looking for that additional cash flow short. It went as low as $403.67 and I took the trade as it happened quick. Now I will visit on earnings next week. Another level of support is $396, then $380ish.
On Monday I blogged about a potential brewing set-up in AAPL: Could Apple (AAPL) Provide a Trade Near Earnings? Here is an updated chart on AAPL after today’s action.
(click to enlarge)
This morning, a very negative pre-announcement from Cirrus Logic (NASDAQ:CRUS)–a supplier of components for the iPad and iPhone–that triggered the extreme weakness. CRUS is currently down almost 15% on the day.
Disclosure: No position in AAPL. Traded AAPL today but currently flat.