*****On Thursday, $AAPL continued to test the upper trend-line. after a brief test to the first support line on Tuesday. Now, as you can see on the chart below, AAPL is testing above the top channel trend-line but still closing below. Although it's hitting new highs, it's showing some hesitation on part of new buyers here. I call it the trader killer, scalper promise. Scalpers are the ones who taunt those who don't wish to miss out on the next big break. These can be false breakouts, programmed or not, testing how far others will follow. In addition, those who wish to take some profit will take advantage of the new highs. Therefore, those who enter and hold can be killed on a reverse so it's a bigger gamble.
Although it may take days or weeks, eventually these patterns give in and reverse before breaking out again, so it now behooves a trader to practice patience until the next pullback is finished. To help you with patience, just keep the chart below in mind; I can count 3 pullbacks just in the past 3 months.
Happy Trading, Living and Dancing
Anni
Disclosure: $AAPL has been on the SwingTrader list for entry at 95.25 on 8/11/2014 with top target as $99
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