The intraday reversal higher is naturally going to stoke emotions from trapped long and anxious shorts alike.
Simply put, either the reversal follows-through to the upside into the bell and next week, or it is a devious trap that takes us much lower for a true washout. We know that we were already oversold by a variety of metrics, where prior bull market corrections have bottomed.
With that in mind, here is a relatively noise-free way to gauge the staying power of this baby rally.
For at least the past month, Apple has been guided lower by its 20 period moving average on the 30-minute timeframe (orange line, below). The first step for bulls would be a decisive close and hold above it. That does not guarantee a major reversal by any stretch, but baby steps (and partial positions with tight stop-losses!) is where bulls need to start.
______________________
