AAPD | Apple Stock Looks WEAK | ShortDirexion Daily AAPL Bear 1X Shares seeks daily investment results, before fees and expenses, of 100% of the inverse (or opposite) of the daily performance of AAPL. The fund, under normal circumstances, invests in financial instruments, including swap agreements and options, that, in combination, provide 1X inverse (opposite) or short leveraged exposure to AAPL equal to at least 80% of the fund's net assets (plus borrowings for investment purposes). It is non-diversified.
AAPD trade ideas
AAPD AAPL LONG (inverse) SETUPAAPL is pulling back today, and so setting up AAPD for a swing long.
As can be seen on the 15 minute chart, AAPD had a pullback for consolidation and is now showing
some green candles. The Williams alligator is showing divergence on the short time frame moving
averages. The RSI indicator topped out pulled back and is now in uptrend showing bullish confirmation.
I have entered this trade to participate in the AAPL pullback which as a titan of the NASDAQ
affects the whole market. a decent position in AAPD ( along with SQQQ) will serve
to hedge the market a bit.
AAPD ( APPLE BEAR !X ETF) for LONG SETUPNASDAQ:TSLA
NASDAQ:AAPD
AAPD is in a reversal from a swing low corresponding to an AAPL market top
AAPL recently completed a 30% since June 17th the YTD high of the SPY.
AAPD on the RSI color-coded candles is showing a reversal within the day.
I am expecting a 32 and 50 % retracement. By extension on the AAPD which
is a bear inverse ETF I expect a ( 0.32 of 30% = 9) rise from 9% to
(0.5 x 30= 15%) 15% rise with the middle of that being 12% ( this is more or
less fibonacci extensions. I see on the chart EMA divergence and convergence to
demarcate a stop loss level there or simply $0.10 below the EMA 200.
Accordingly, the stop loss is $0.25 below the current market price ( "CMP")
while the targets are $2.16 to $3.60 above the CMP. The reward to risk
is more or less 10X making this a swing-long setup with limited risk.
That said, one risk is the relatively low volume and so liquidity is
constricted.
I will trade this with a call option on the $24 strike expiring in September
16th closing a 2-3 days beforehand to mitigate time decay expectant
for a 75% return in 2/3rds of a month where the cost will be
$50 on one contract.