Tuesday, 30 August 2016

AAPL - shrugging off tax issues

Whilst the main market settled moderately mixed, Apple (AAPL) was under pressure after an EU tax ruling, that AAPL should pay $14.5bn in back taxes. AAPL settled -0.8% @ $106.00. Broader price action remains strong though, with the $110/111s probable shortly after the Labor day holiday break.

AAPL, daily

AAPL, monthly


News report: http://www.bbc.co.uk/news/business-37220799

Were it almost any other company, such a legal ruling would have sent a given stock imploding by at least 10%.

Yet AAPL was only lower by around -1.5% in early trading, and showed a reversal almost from the open.

Broader price structure is VERY bullish, as the down trend from the April 2015 high of $131 looks to have concluded.

If the main market can hold together (no move under sp'2K) across Sept/Oct' - as seems probable, then AAPL should be able to climb into year end.

By late spring 2017, AAPL would likely be pushing for a new historic high.

*AAPL remains one of my top 5 Dow stocks. In terms of tech, I'd place it second only to INTC.