Tech Investors Crowd the Exits
It isn't just what's wrong with Apple (AAPL). It's tech. Money is moving from tech into energy, some income plays and safety in general. I think there is also a push to cash. The selling there is not flowing into Treasuries or commodities or precious metals at this point. Every "bottom" in Apple seems to see 10 more points below it. Bounces now are probably going to be used to find an exit door rather than a new entrance.
I did add one Apple play, and a bit early I might add, which was short 1x October 12 $595 puts while going long 2x October 12 $580 puts for net credits of $0.16 and $0.17. I still like this trade, as I have $610 as my floor with $590 possible, but I don't see sub-$590 in the next few days. If Apple does fall, this one is slightly long vega, even though it is slightly negative delta; therefore, I am not too concerned if Apple pushes lower. I would set a stop around $0.75 on this one, though, and I'll look to close it in the next two days....193 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.
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