$AAPL Apple At The Start of a Healthy Pull Back?

I've been a bull on AAPL since the lows in May of 2013.  I think it continues higher over the long term.  But I think short term we could see a very healthy pull back.  One that might shake the confidence of those late to the rally and create a nice buying opportunity.

AAPL is overbought, and from several indicators looks to have reached a point of short term exhaustion.

I think the first area of support will be at $110.  Analysts and investors have become increasingly bullish on the stock.   The recent run up from sub $100 levels has been swift and painful for the shorts.

The longs, on the other hand, are sitting on sizeable gains.  I think the money, short term, will be made trading for a pull back.

I like those $113 puts for next weeks expiration at $.96

 

I don't own any AAPL options yet, but I am looking for a position to capitalize on this possible pull back.

Known to most as Uranium Pinto Beans, Jason has more than 15 years under his belt of trading stocks, options and currencies. His expertise primarily lies in chart analysis, and he has a strong eye for undervalued stock. Because he’s got the ability to identify great risk/reward trades he usually enjoys taking the path less traveled and reaping the benefits from the adventure.

He is a co-founder of Option Millionaires, and he is best known for his weekly webinars with Scott, as well as his high level training webinars and charts found in the forums.

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