AAPL Apple Takes One Hell of a Beating and its Not Over.

Over the past few days, I was actually starting to consider a move from cash to stocks, but my analysis told me that this mini-crash will not be solved in a few days. So I waited and took some short positions. Then this happens. At time of writing Apple's capitalization is down circa $60 billion. There is extreme fear in this market and nerves are all around. Ultimately the Apple cash cow is actually reasonably priced with a PE of 19 and prospects are not that bad. What you have to remember is it is not the reality, it is the market participants perception of reality that matters. It is great to be a contrarian investor, but only at the right time.

Chart commentary.
From August 2018 the RSI and CMF showed strong negative divergence from the price trend. I held Apple and sold circa 18 days ago because of the increasing volatility in the FANGS and the markets. What is also bad is the exit of Apple's price down through the bottom of the Ichimoku Cloud.

Long-term the Liberated Stock Trader Crash Detector has stopped saying Bull trend, and is waiting to confirm the big bear trend. But we are not there yet. The shock warning is a precursor to that.

Hold onto your pants for this ride and don't catch a falling knife.

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Barry :)