With Steve Jobs taking medical leave, Apple’s shares are down 7% in Germany. Tomorrow in US, $AAPL shares are bound to be very volatile. The most likely scenario is that shares will open down then bounce and partially fill the gap. Tim Cook , who will be taking charge in Jobs absence has been more in-charge than what is visible. In the short term, we do not see any change in the forward momentum of $AAPL products.
From a short term trading perspective , in the high volatility we expect, risk control is difficult as stops repeatedly are hunted leading to losses for all but most sophisticated traders.
A coward’s way to play AAPL with proper risk control is to play $QID. AAPL has a very large waiting and this low priced ETF trades smoothly for a trader to make money while controlling risk with stops.
From a longer term perspective, we will go long on AAPL if over the coming days it gets hit hard and we detect a selling exhaustion
