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APPLE VIOLATES $400, NO SILVER LINING FROM OVERCAST CIRRUS OUTLOOK $AAPL $CRUS

April 17, 2013

Until yesterday Apple AAPL had been holding strong after testing its support around $419 multiple times. Today that support has decisively broken with shares plunging more than 6% and briefly below $400 to as low as $398.11 this afternoon. The reason for the crushing action lower in Apple shares is what can be inferred from negative talk out of a major supplier of iPhone audio components, Cirrus Logic CRUS . Cirrus said that it expects revenues and earnings when it reports quarterly results next week to be significantly below analysts’ forecasts. Cirrus also projected horrific revenues going forward. The implication is that Apple has slowed the

APPLE IN TROUBLE IF U.S. PHONE MARKET FOLLOWS FRANCE, INDIA, CHINA $AAPL $NOK $BBRY $GOOG $MSFT

April 17, 2013

Apple became the largest company in the world by market capitalization on the strength of innovation in mobile phones. Fortunately for Apple, the last several years there has been a consumer trend to treat their phones as status symbols or fashion accessories. This kind of consumer behavior has also been the primary reason for Apple’s success in China. For many newly rich Chinese, flaunting the latest iPhone has been a way to show that they have arrived. What about a possible inflection point that is arriving when most consumers will consider their phone simply as a utility device and not

DISH-SOFTBANK PURSUIT OF SPRINT HAS POSITIVE IMPLICATIONS FOR APPLE $DISH $S $VZ $AAPL $CLWR

April 16, 2013

This morning, Dish Network started a takeover battle for Sprint. Dish is offering $7 per share which includes $4.76 in cash and the rest in Dish stock. Sprint has an existing deal to be acquired by SoftBank of Japan. Both offers from SoftBank and Dish are expensive because they represent about 5 times 2013 EBITDA of Sprint. SoftBank offered a very attractive deal for Sprint similar to what many investors are clamoring for Dell. Under the deal, SoftBank is to acquire a 70% stake in Sprint and the remaining will be publically traded. Investors like this structure because they are able to

UPDATED GOLD CHARTS $GLD $SLV $GDX

April 16, 2013

These updated gold charts were recently published on ZYX Buy Change Alert. The updated chart shows our analysis of the long-term gold picture. Click here to see the updated long-term chart. The medium-term chart shows that the major support at $132 in GLD was temporarily broken. Click here to see the updated medium-term chart.

WORLD EVENTS TELL US THAT GOLD AND SILVER HAVE LOWER TO GO $GLD $SLV $GDX $NEM $ABX

April 16, 2013

Recent world events tell us that gold and silver have lower to go. The events on which gold and silver should have gone higher, precious metals staged only weak bounces. The events on which precious metals should have shown slight weakness, gold and silver fell out of bed. First let’s examine the events where gold and silver should have gone up. The founding principle of the euro zone was that it would have a common currency. But now a euro owned by a German is not the same euro when owned by a resident of Cyprus. When faced with mounting opposition,

UPDATE ON SPRINT $S $DISH $PCS

April 15, 2013

This post was just published on ZYX Short Change Alert. Sprint has an existing deal to be acquired by SoftBank of Japan. SoftBank offered a very attractive deal for Sprint similar to what many investors are clamoring for Dell. Under the deal, SoftBank is to acquire a 70% stake in Sprint and the remaining will be publically traded. Investors like this structure because they are able to cash out a large portion of their holdings but at the same time are able to participate in future growth. This morning, Dish Network started a Battle Royale for Sprint. Dish is offering $7

HOW LOW CAN GOLD AND SILVER GO? $GLD $SLV $GDX $GDXJ

April 15, 2013

The plunge in gold and silver and massive outflows from popular ETFs like the SPDR Gold Trust, the iShares Silver Trust, as well as popular miner ETFs like the Market Vectors Gold Miners and Market Vectors Junior Gold Miners ETF have investors clamoring for the answer to a simple question, “How low can gold and silver go?” There are four ways to look at it. Traditional technical analysis The weekly chart shows Fibonacci retracements as well as support levels. Please click here for an updated annotated weekly chart. Based on traditional technical analysis, the target zone is $1250 to $1425.

WHY GOLD AND SILVER ARE GOING DOWN $GLD $SLV $GDX $NEM $ABX $GDXJ $SLW

April 12, 2013

The set-up for gold and silver to be slaughtered was perfect yesterday. There have been considerable outflows from popular ETFs like SPDR Gold Shares (GLD), iShares Silver Trust (SLV), Market Vectors Gold Miners (GDX), and Market Vectors Junior Gold Miners GDXJ. The selling today was quite different from the typical patterns over the last two years. A vast majority of the time over the last two years, aggressive selling did not original from Asia or Europe but from North America. Today has been very different in that the selling originated early on in Europe. This selling may have something to do with Cyprus’