kaltbaum premarket

On cue, a 1% gap to the upside today.

 

This started at noon on Friday. Everybody saying it was on news of the fiscal cliff. Nope…it just happened to be the time. Again, here are a few things you need to know.

 

Late last week, articles came out about Apple’s drop after a $200 drop. Bearishness picked up as put buying was the highest in months. Late sellers and late short sellers showed up…and of course, the shorts get trapped this morning and the late sellers are pulling their hair out.

 

The question is whether you can predict such a move. The answer is no. You can get a feel that eventually one is going to happen but there is no way from what point. A few things did line up like put buying, holiday week and the reversal but who’s to know we would gap up 1% today.

 

 

The usual criminal stuff happening this morning:

 

Analyst at Merrill raises AAPL target from $780 to $840. This is a scam. The analyst’s stock drops from $705 to $505…realizes he already has his highest rating so the only thing left to do is to goose the stock with a fake target raise. Of course, SEC says nothing about this sham.

 

Today is day 2 of an attempted rally….off a huge gap. If you didn’t touch anything Friday, not sure it is smart to buy anything today. Can the ultimate low have been put in? I give it less than 25% chance…but will adhere to our rules.