Welcome back, Meta-TradersI hope you took my advice from the weekend post to buy some Apple computer. The chart on the left shows 5 minute bars with 3 moving averages: 8-period, 21-period and 50-period. Check out the way we had a large opening candle followed by a partial re-tracement. After that, it hugged the 8-period moving average all the way up the large red candle about 11:15 AM. Perfect trading conditions for Oliver Velez type day trading.
After that sell off, AAPL went into a complex correction which eventually found support right at the 50-day moving average. Finally it closed at a new all-time high on the closing tick. A classic example of 'painting the tape'.
Apple is now the largest capitalization stock of all time and has exceeded Microsoft and Exxon Mobile with this latest move.
I'm still long and expecting some further upside tomorrow before a blow-off top later in the week.
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