Can’t Resist Apple: Way Too Ripe, Way Too Juicy (Update2)

This is an update on the post Can’t Resist Apple: Way Too Ripe, Way Too Juicy, and Update1.

Apple (AAPL) revealed the new iPhone yesterday. Investors and traders were not inspired.

In Update1 I asked: “Which is more probable, a surprise to the upside in a stock priced to perfection in a deteriorating economy or a surprise to the downside?”

This is a classic buy the rumor, sell the news play. A shiny, new 3G phone coupled with lower prices put traders into profit taking mode.

TheFinancialNinja isn’t the only one with a Bearish view of AAPL.

Corey over at Afraid to Trade has it exactly right. He sees a Double Top and both a Divergence and New Momentum Low in AAPL in his post, AAPL – Why Didn’t it Rise?!

Tim over at The Slope of Hope thinks the iPhone news is nothing but old news and calls the chart an attractive short in his post AAPL=Another Anticlimactic Product Launch.

Adam over at The Daily Options Report sees a real Battle Royal here at the 50 day MA in his post An Apple a Day.

The AAPL chart is set to roll over. AAPL stock now looks to be in distribution mode with initial support around the $170 area followed by the $160 area.