This week's Apple trading strategies (6/21-6/25)

A place for Apple traders and investors to share their best ideas.

To get things rolling, here's Wedbush's Daniel Ives on the effect on tech stocks of future interest rate hikes. The Apple section starts at the 2:33 minute mark.

Below: Apple vs. the S&P 500 last week, normalized…

apple trading strategies 6-21

Disclosure: Although I am now an Apple shareholder (see Why I bought a share of Apple, my first), I am in no position to give trading advice. Don’t blame me if you drain your IRA doing something you read about here.

See also last week’s trading strategies.

4 Comments

  1. Jerry Doyle said:
    I like brother Dan. I like the way he explains things, in such simple & explicit terms. I like the way he talks about Apple in real concrete terms. I like his enthusiasm and upbeat optimism on his take, especially Apple. I like everything about the man. We need to have him back on Apple 3.0 for an end of-the-year update. I even like his take on Tesla, a stock I wish I own. I say we vote Dan Grand Marshal over Krewe of Endymion. Laissez les bons moments rouler avec frère Dan!

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    June 20, 2021
  2. Gregg Thurman said:
    My weekly strategy changed a bit last week. AAPL was continuing a two week long rally going into the end of a quarter wherein it’s suppliers were reporting stellar revenue and earnings growth. Failing to purchase at Monday’s low, Tuesday I bought deep in-the-money for JUN 25 after a pullback from the day’s high.

    To date that has proved successful. On Friday I placed a stink bid for JUN 25 $129/$130 Call Spreads @ 65c. That order was filled on a brief dip to the low of the day.

    My reasoning for these trades was that I felt WS was entering the market on belief that Apple has once again, produced stellar results for FQ3. Trading volume on Friday was almost double the week’s average.

    AAPL sold off in the last few minutes of Friday, almost matching the day’s low. If AAPL continues selling off Monday I will Close my positions while still making a profit. I think AAPL’s decline of $1.33 on Friday was directly related to Powell’s indication that interest rates may go up, on the strength of the recovery, a year or two earlier than previously believed. I think this sell off is transitory from those that react to news and don’t think longer term (retail).

    1
    June 20, 2021
  3. David Emery said:
    It’s interesting to consider how Apple is impacted by raising interest rates. It’s certainly -not cost of capital- with Apple’s bank accounts! Apple products would presumably be somewhat impacted for those who finance them (and use something other than an Apple credit card.) Services costs seem to me to be relatively insulated from inflationary pressures.

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    June 20, 2021
  4. Michael Goldfeder said:
    When Dan talks about moving away from the hardware stocks, I’m wondering if implicit in that statement is that Apple is the only “hardware” stock he considers worth owning? Frankly, the rebirth of iPads, Mac’s, and iMacs has set the tone and reestablished these Apple products as the devices of choice for not only consumers, but also businesses going forward.

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    June 20, 2021

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