Chart Review: Apple Finally Breaks Its Downtrend

Apple (AAPL) initially failed a critical technical test at the 200-day moving average (DMA) and even made a new low for 2011, but the stock’s under-performance has finally ended. AAPL has gained over 10% since its 2011 low June 20th. The majority of the gains have come on just 4 days with strong bursts of 3.2%, 2.7%, 2.3%, and 1.8% to close today (July 5) above the 2011 downtrend line. If there is anything that prevents me from getting overly bearish despite overbought conditions in the stock market, it is AAPL shooting skyward. Hard to be a bear when AAPL is being a bull.

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Apple finally breaks its downtrend for 2011
Apple finally breaks its downtrend for 2011

*Chart created using TeleChart

Be careful out there!

Full disclosure: no positions

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