Submitted by Mark Hanna
Courtesy of MarketMontage. View original post here.
Generally you think of a short term market top in terms of an index going parabolic. But in this case it may be Apple (AAPL)… which is so influential on the NASDAQ along with a bevy of ETFs. The stock now has a RSI of 90+ (!) and has completely detached from any relationship with either the 10 or 20 day moving average. It is looking a bit like silver did last summer (I believe it was) before it reversed. But right now any betting against it are being taken out in body bags.
It would be a bit less remarkable if this was a $20B company, or $50B but this is the largest company in the index – amazing stuff.
EDIT 12:45 PM – from the time I created the chart, Apple has now quickly dropped about $15
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Any securities mentioned on this page are not held by the author in his personal portfolio. Securities mentioned may or may not be held by the author in the mutual fund he manages, the Paladin Long Short Fund (PALFX). For a list of the aforementioned fund’s holdings at the end of the prior quarter, visit the Paladin Funds website at http://www.paladinfunds.com/holdings/blog
