by Clive Maund
This morning we are going to take a look at market flagship and bellwether stock Apple, which has been in meltup mode, despite the economy being “dead in the water”. The reason for this is twofold – one is that it is a “New World Order” darling company which makes personal tracking devices (cellphones) that the masses love and are prepared to pay very high prices for, until they are homeless and broke that is. The other reason is that the Fed has been creating trillions of dollars out of nothing, part of which has gone into driving up the stocks of companies involved in creating the new technocracy, like Apple.
However, there is a limit to everything, even to how far and how fast the Fed (and legions of speculative investors stuck at home playing the markets) can drive the price of Apple stock higher, and right now the stock is at incredible overbought extremes, of the kind that could quickly produce a brutal selloff, as once traders sense that the current vertical uptrend is faltering, they stampede to book profits, jamming the exists and causing the price to go into freefall.