Premarket: Apple is green

apple premarket green 10-22-21From the Wall Street Journal’s “Stock Futures Pause After S&P 500 Hits Record” posted early Friday:

U.S. stock futures crept lower, putting the S&P 500 on course to break a seven-day winning streak that included a fresh record high.

Stocks have risen in recent days on strong earnings, shaking off concerns about inflation and supply-chain problems that threaten the post-pandemic economic recovery. Nearly nine out of 10 U.S. companies that have reported earnings have beaten Wall Street expectations, said Mike Bell, a strategist at J.P. Morgan Asset Management…

China Evergrande Group,the heavily indebted property giant whose potential default had spooked markets, made an overdue interest paymentto international bondholders, Chinese state-owned media reported Friday. The payment allowed the company to stave off default and helped ease investors’ broader concerns about China’s property sector.

Evergrande’s shares rose almost 5% Friday, while the Lippo Select HK & Mainland Property index rose more than 3%. “We think the market priced in more bad news than was likely to come to fruition,” Mr. Bell said.

My take: Bullish signal for AAPL: Price crossed moving average. Max pain moved up this morning to $146 from $145.

apple premarket green 10-22-21

5 Comments

  1. Romeo A Esparrago Jr said:
    Right on, we went over 150.

    1
    October 22, 2021
  2. Gregg Thurman said:
    Broke through $150. Hope it breaks through $151 today. From then on my Calender Spread may get exercised prematurely, which would be a very good thing. My ROI would be the same as getting exercised next week, and allow me to reload starting with DEC at the money Calls.

    0
    October 22, 2021
  3. Gregg Thurman said:
    There is just no conviction in this market .

    Considering the market’s post earnings response the lastv3 quarters what else would you expect?

    I think $150 is a good place to wait out this week’s earnings report, and the market’s reaction to it. Low enough that a poor reaction doesn’t burn that much, and high enough to still get a good pop on a favorable response.

    The real action is going to come in January. Uncertainty about component supply prices will be held back by the rumors. A beat as occurred during all of FY2020 will be well received, especially if a significant portion of the beat comes from Mac sales (and margin expansion). The move away from Intel will be seen in an entirely new light, and will reflect badly on the Wintel market (a good thing for Mac sales).

    0
    October 23, 2021
  4. Gregg Thurman said:
    Here’s another look at how far into the future Apple plans.

    I think Apple made the decision to design its own processors before releasing OSX. At the time Apple was using MOT Power PC chips and I’ll bet had been given fair warning by MOT that it didn’t plan further development on the architecture.. Intel was a stop gap until Apple could design and introduce its own. That meant creating development tools (Swift) and creating a large cadre of developers using it. Then developing transition tools that made applications developed for Swift to be recompiled (with minor errors) easily, and rewriting OSX, and important Apple apps, to run on the new silicon BEFORE “M” was announced. I’m thinking Apple has been working to this puck’s flight for at least 20 years.

    I’m not suggesting Apple’s chips are 20 years ahead of the competition, I am suggesting a lead (considering everything that must be developed simultaneously) of 10 years is reasonable.

    0
    October 23, 2021

Leave a Reply