That was a 14.2% pullback. The bounce off the 200 day MA back then saw the stock go from a $360 close in late Nov 2011 to a $640 close in early April 2012 (4 months), or up 78%. This move was on the back of the iPhone 4S.
Comparatively, we have seen a pullback from a closing high of $701 to $592, or a 15.5% pullback. The current 200 day MA is $586. Will history repeat itself at $586 with a huge move up...this time on the back of iPhone 5 and iPad Mini? From $586 up 78% (like before) is $1037. I am not predicting that will happen over the next four months. But, I maintain my opinion the pps will be at $800 (up 35%) by March 1, 2013.
The takeaway for us longs? We have been here before, and we have reaped the rewards for being patient. The future looks bright, as before.
Good luck longs!!
Sentiment: Strong Buy
This is where your mental makeup comes in. IF you logically look at things, you will not freakout. Selling at the bottom is never smart, but many people are doing that right now. LOOK at the charts. I know people make fun of "chartists" but it works.Apple can go up tomorrow as easily as it went down today. However, emotions are killers.
Absolutely correct. I went through it and held the entire time... had to really grit my teeth each day of it! I also bought along the way when I had some money to do so; this is nothing but the same situation brought forward to the present time. What I am doing is liquidating other positions so that I CAN buy more when it looks and feels right to do so, probably in multiple lots, since no one can time the market on a pull back.