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Thursday, October 6, 2011


Just a quick technical assessment.

With the weakness of this market, the stock has shown its low end, and potential high end.

The low 350s is the ultimate support, it also represents the action when Jobs resigned as CEO. Fundamentally, it will trade at single digit multiples (excluding cash) below the 365 area. (In any other time, current levels are a screaming buy.)

For anyone who doubt the company will be the same, those doubters are wrong.  The doubters have always doubted.  Also, any muted response from the iPhone 4S launch is bullshit.  Its an entirely new phone, that looks the same as the old one.  The increased carrier uptake, and transition from 3GS to the 4 and 4S, will allow AAPL to see continued sales growth. (It will most defiantly allow the company to see growth greater than single digit multiples.)

For the time being I think AAPL could be in a 360 to 400, potential trading range.

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