Posted for Jeremy...

This is from JW -- it's hard to read, but I didn't feel like changing all of the formatting by hand!  Enjoy...

Okay - A couple thoughts for today. Iʼm currently in Wisconsin and interestingly enough
itʼs difficult to get internet here. Actually thereʼs plenty of internet, they just want me to
pay $10/day per computer. So I keep going to Starbucks where I already have a T-
mobile account. Personally I think Internet should always be free... but thatʼs just me.
All that to say this post may actually get up way later than when Iʼm writing it. On with
the important stuff.

AAPL - Whee!!! Isnʼt this fun. We made all that money, rolled into a may option, and
down we go. Okay, so in hindsite we should have waited to buy the may calls. But who
knew the morning of a gap when the stockʼs running up $4? Okay - so here we are.
Roughly $300 in the hole on our position but Josh and I talked today and weʼre holding
and hereʼs why:

-AAPL has a tradition (at least recently) of following the S&P amazingly close. That
explains a good bit of the down days. When the overall market is slow AAPL tends to
lack. Itʼs worth noting though that AAPL tried hard to be bullish this morning when the
market was really trying hard to be bearish.

-Second point is this: “Come on, even apple needs to rest sometimes”. Truth is weʼve
had a pretty good $15 run. While AAPL could have kept running if the overall market
had maintained strong, the bearish report at the FOMC yesterday didnʼt help it too
much. It looks like those who have done well are taking some profits. Truth be told, if
we hadnʼt already rolled out of our initial calls weʼd be taking profits too. So there you
have it.

-Next point - itʼs no real coincidence that AAPL ran up to exactly the spot it ran up to on
Jan. 22 before the big failed rally that kicked off what turned into a $25 sell off. Look at
the chart on AAPL.

Itʼs pretty interesting that on Jan. 22 AAPL ran up from an open at 148, ran up to a high
of almost 160 and pulled back to about 155.6. The next day it OPENED at 136, a
nearly $20 gap down - and all this on the day AAPL announced itʼs best earnings EVER!
All that to say 3 days ago on April 7 AAPL once again ran up to right at 160 only to pull
back and close around 155.6. Could this really be random? Itʼs called fear. Traders
remember what happened back on Jan 22 - it was what we call A DOOZY. The
emotions of loosing that much money so quickly, over night, with a booming earnings
report - that doesnʼt die quickly. So when the market looked weak on April 7, and AAPL
hit almost 160 - those memories come back quickly. NOW - with that fresh in your mind,
look at the indicators and you can put some framework around whatʼs going on.

-Today AAPL is bouncing between the 100 & 200 day MA. Check out April 2006 - the
last time AAPL bounced on the 200 MA. A few months later it broke through, but not
for long. And thatʼs when the big rally of 2007 began. Watch for one of the following
things to take place.

-AAPL will bounce tomorrow, continue itʼs uptrend, stop @ 160, 165 then
probably not really stop until 180.

- AAPL will trade sideways until the 10 EMA catches up and then continue itʼs
uptrend.

-Worst case AAPL will trade down to itʼs support at 146, bounce, and then take
off continuing itʼs uptrend.

-if it breaks the 146 mark look for it to potentially fall all the way back to 120, re-
establish a bottom and then return to building.

These are the 4 most likely scenarios for AAPL in their order of likelihood. Tomorrow
should be interesting.

Now Iʼd like to mention a new stock to watch. I havenʼt paid much attention to it for
several months but SNDK is looking good. If I had a better internet connection Iʼd jump
in with some $25 calls and ride it for a couple weeks to see what happens. Iʼll write
more about this as it develops.

Iʼd also like to mention some stocks Iʼm real excited about for the next month. When I
get back weʼll most likely be trading and talking about these a lot.
They ARE:
Iʼm bullish on:
AAPL
BIDU
FDX
RIMM
SNDK
VMW (Possibly)
XOM (if it will push through 90)
Iʼve got my eyes set on AZO, SHLD, SLB as good potential trades for one of the
following:
-Credit spreads/ Iron Condors
-Bearish trades.
Weʼll give it a few days to see what develops.
Trade on.