Just a few days after I talked about Apple for a potential explosive moving up, Apple is already on fire now. It has jumped up over $50 just within a few days. Honestly I did not expect that. I thought this kind of move would more likely happen late this year. So what happened? Well, the billionaire activist investor, Carl Icahn said he believed Apple shares were extremely undervalued and the company should execute a larger buyback. He disclosed that he had bought a large position of Apple, reportedly worth around $1 Billion. By the way, if you don't know Icahn, you really need to know him, a extremely successful investor who can move the market. Just google to know him.
So should you chase it now, if you have not bought any of Apple? Well, I think Apple is very likely to pull back a bit in the next few days, given how overbought it is right now. It is even jumping over its Bollinger Bands today, which is kind of extreme. The RSI is also over 80, an indicator of overbought. I think it will come down towards $450 as the next move. If so, it will be another great buying opportunity. Don't miss it!
No comments:
Post a Comment