“Apple needs to firmly break above $355 a share – the neckline [of the inverted head and shoulders] – on convincing and strong volume,” Andy Zaky writes for Seeking Alpha. “A major break above $355 will lead to an immediate move to $400. I think the highs would easily be eclipsed and the stock will rally to $400 by July earnings.”
“The next few sessions are very key for Apple,” Zaky explains. “The WWDC is also very key. You don’t want to see Apple sitting at technical resistance at the WWDC. That would pretty much put a nail in the coffin to this rally, which will likely end in failure unless Steve Jobs announces the iPhone 5 or iPhone 4S.”
Zaky writes, “So if Apple is trading near $355 and struggles to break above that mark on the day of the keynote and you see the stock start to fall back, that should raise major warning bells for an impending major sell-off. So far we’re off to a great start, and I’ll keep everyone updated as to Apple’s trading progress as the week goes on. Suffice it to say, this is the start of really good things. This could very well be the beginning of the rally to $400 that everyone has been waiting for. Now if this does indeed happen, I also believe Apple will easily eclipse $450 by January. Again, that assumes we do in fact get this June-July rally. Stay tuned.”
Much more in the full article here.
[Thanks to MacDailyNews Reader “Joe Architect” for the heads up.]
I regard Zaky highly, but charting is bullshit or bearshit.
It is when you don’t understand it.
Great timing on the article. The Dow Jones had its worst day this year today.
And Apple only dropped 0.67%. 🙂
Then it will go up tomorrow.
Andy Zaky’s articles are a fun read, but if I had a nickel for every time somebody said Apple shares were about to take off to the stars, I’d probably be rich by now. Andy can put together all the figures and charts he wants and it doesn’t mean a damn thing if nobody is interested in buying Apple stock.
I think Apple is the coolest and probably the most well-run company on the planet, but nothing Apple has done recently is enough to move the share price even the tiniest. When revenue and cash flow doesn’t translate into gains for an investor, then that company might as well be seen as a rather useless investment.
So, can Apple hit $400 in July? Possibly. Will it? Only the market manipulators know for sure. I’m hoping it will go higher, but knowing my luck, something is bound to go wrong.
“Only the market manipulators know for sure” — that nails it.
If the fundamentals remain strong and the valuation is attractive, the stock will eventually outperform. Technical prognostications are not worth anything. The longer the above conditions remain in place, the stronger the eventual rally will be. I would not stake my claim to fame on a price point or a time horizon because these variables are heavily a function of the condition of the financial markets about which no one can forecast in the short term with any reliability.
Either the stock will hit $400 at some point, or apple’s growing cash hoard will see each share valued at $400. at apple’s rate of growth one will eventually happen.
Zaky is spot on with the resistance number, head / shoulder, volume, etc ….. He is spot on …..
And all Zaky is saying is:
IF we close over $355 on good volume buy all you can …..
IF we don’t close over the $355 and we see the stock retreat on say 18 million or better shares, you may wanna get out as there will probably be a better entry point ….
I would think one way it could hit $400 by July would be for it to start going up.
You’re my kind of analyst !
good one
In essence, AAPL will either go up or down…that’s some kind of prognostication. To be fair, he adds a few specifics. But that is the gist of it. If these folks are so smart, then let them openly put their money on the table. Instead, they want you to pay to let them play with your money. I had enough of that a long time ago.