Here are a series of individual stocks that, to me, confirm the bottoming process. These charts coincide with the few stocks I highlighted a little over a week ago.
AAPL - This sucker is a healthy chart, and is going to 450. It will most likely bounce from current levels, and probably not look back. If AAPL does not agree with me, the bounce off level will be mid/high 380s. (If AAPL reaches this level, I will probably not be able to resist and trade it.)
GOOG - Although its basing, and showed nice strength on Friday, I would still hold off on it until, at least, the lower end of the base range.
the 176 level was the support to watch.
I never will understand why traders say "price is truth". A trader's job is to take advantage on market inefficiencies, and this task is in direct contradiction to the "price is truth" mantra. IMO, the above show some really interesting positive bias, which will eventually carry over toward the year end.
Like the overall SP500, many of these stocks are trading at lower-than-usual multiples. The current positive bias or, at the very least continued basing, assumes little multiple expansion. As US economic and China fears ease, expect multiple expansion to drive these stocks higher too.
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