Apple Channel

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I wanted to show a chart within a chart which is quite interesting: below is the long-term ascending channel of Apple. Present price levels would suggest it is a relatively bargain. However, take a good look at the inset, which represents the price action of the tinted zone. See how it was repelled at its price gap? (This is the price gap created by Tim Cook’s warning about their forthcoming earnings). Simply stated, if AAPL breaks this channel, it’s a whole new ball game for the former trillion dollar company.