This page has been archived and commenting is disabled.

Must. Defend. $500

Tyler Durden's picture




 

Just like Friday, there was virtually nothing notable to speak of in today's trading. The one catalyst that pushed stocks higher: all stocks, not just the one that may or may not be in play, was the DELL LBO rumor, that prevented the DJIA from going red on the day and pushed the 30 stock average well above the red, even if the S&P500 was not quite so lucky. As for what really mattered today, it is summarized in two words: "AAPL" and "$500." After breaching $500 briefly in the early trading session, the end of trading saw a concerted selling effort in the one stock most heavily owned by the hedge fund community, yet no matter how close it got to breaching $500, and sending the company into who knows what stop loss tailspin, someone kept buying just above $500  thereby preventing the uber levered hedge funds from having to start liquidating holdings to meet margin calls.

 

And yes, ES, controlled entirely by algos, ended up closing right at VWAP:

 

- advertisements -

Comment viewing options

Select your preferred way to display the comments and click "Save settings" to activate your changes.
Mon, 01/14/2013 - 17:11 | 3152061 Aguadulce
Aguadulce's picture

Braeburn Capital, Bitchez.

Mon, 01/14/2013 - 17:24 | 3152113 ACP
ACP's picture

When does Bernanke have enough shares to buy a seat on the board?

Mon, 01/14/2013 - 17:38 | 3152166 ABG LINE
ABG LINE's picture

LoL !

Mon, 01/14/2013 - 18:57 | 3152431 TideFighter
TideFighter's picture

Waddapple & Reedomac fat finger. And...you thought they were gone.

Mon, 01/14/2013 - 23:07 | 3153026 lasvegaspersona
lasvegaspersona's picture

'someone'

Mon, 01/14/2013 - 17:12 | 3152067 kaa1016
kaa1016's picture

I bought more puts. I wouldn't be surprised at all if this thing tests $450 before the week is done. It was obvious they were trying to hold $520 on Friday and look how well that worked out. It was $500 today. If it gaps down tomorrow on huge volume, I'm selling those puts.

Mon, 01/14/2013 - 17:31 | 3152093 michiganmaven
michiganmaven's picture

right idea but I think your time frame is too fast... a quick drop to $450 would force mass panic in hedge funds and we all know Bernanke will not allow that cause he has run out of Boxerbriefs to take a shit in during this "recovery"....

Mon, 01/14/2013 - 17:37 | 3152165 kaa1016
kaa1016's picture

You're right, I may be a bit aggresive but the amount of people still long and in denial, who haven't capitulated yet, could make that happen faster than anyone thinks. A more probable scenario is $450 by next Friday. I bought the $500 puts that expire this week last Friday and sold them this morning and bought the $475 puts 5 minutes before the close. We'll see how that trade turns out...

Mon, 01/14/2013 - 18:32 | 3152346 James_Cole
James_Cole's picture

$450 is much too agressive on the weeklies. The $500 on Friday was a big win though!

$450 next friday if the earnings are bad. Seems risky going into that naked.

Mon, 01/14/2013 - 17:24 | 3152111 Xibalba
Xibalba's picture

took the other side.  

Mon, 01/14/2013 - 18:04 | 3152248 HoofHearted
HoofHearted's picture

Take both sides. This is going to become a pink sheet favorite. It has all the same "pump and dump" or rumor-trading characteristics that all those penny stocks have.

Yes, I have an iPod. Well, my wife does. I have a cheap ass MP3 player that works just as well.

Mon, 01/14/2013 - 17:13 | 3152069 HedgeAccordingly
HedgeAccordingly's picture

Interesting .. $RIMM ramped into closing print as $AAPL defended 500 - overlay them 1 year http://www.hedgeaccording.ly/2013/01/comparing-rimm-to-aapl-on-1-year-fr...

Mon, 01/14/2013 - 17:40 | 3152173 adr
adr's picture

Sprint announced today that they would be carrying BB10 devices, part of the catalyst driving RIMM higher.

If you haven't died laughing yet, you should check out more leaks of the BB10 interface and feature phone.

What looks to be a 4" slab phone with rounded corners, no keyboard, and a look identical to the iPhone4. The interface features a BB link bar with popular social networking apps integrated into the system. Of course some of the popular apps may not be available from Blackberry World when the device launches, updates should immedialty follow.

Good luck RIMM. At least you got one good last ramp job to help some fucks in NYC retire slightly richer.

Mon, 01/14/2013 - 17:13 | 3152071 lizzy36
lizzy36's picture

For all those whose cares have been our concern, the work goes on, the cause endures, the hope still lives, and the dream shall never die.

Mon, 01/14/2013 - 17:41 | 3152179 IamtheREALmario
IamtheREALmario's picture

Yes, but who is playing Jimmy?

... better than a bullet in the head.

Mon, 01/14/2013 - 17:48 | 3152206 css1971
css1971's picture

the iPhone mini?

Mon, 01/14/2013 - 17:14 | 3152074 Stochdoc
Stochdoc's picture

The head and shoulders counts to 300, assuming the neckline is finally broken.

But, ALL IS WELL!

 

Mon, 01/14/2013 - 17:16 | 3152088 WarHorse
WarHorse's picture

Head and shoulders?  Better go back and re-read the John Murphy book

Mon, 01/14/2013 - 17:24 | 3152108 Stochdoc
Stochdoc's picture

Dude, I've been a technician longer than Murphy.

 

Look at a three year chart - the left shoulder is March - May 2012, the head is August - November and we are in a weak right shoulder that is also a bearish descending right triangle.  The neckline is downward sloping.

Mon, 01/14/2013 - 17:40 | 3152176 WarHorse
WarHorse's picture

Those are the shoulders of Quasimodo  .. but I agree, chart look ugly

Mon, 01/14/2013 - 18:09 | 3152267 Freddie
Freddie's picture

Agreed on Apple.  Do you see a breakdown in RUT and SPY?  They have almost the same head and shouldeers but the right should appears to be holding. 

Mon, 01/14/2013 - 17:14 | 3152075 WarHorse
WarHorse's picture

All the open interest for this month's expiry is centered on the $500 strike .. I'll bet you an iTV they pin it.

Mon, 01/14/2013 - 17:32 | 3152142 Frozen IcQb
Frozen IcQb's picture

Short Condor

Mon, 01/14/2013 - 17:44 | 3152191 slaughterer
slaughterer's picture

$480 is the completion level of the sell-off.

Mon, 01/14/2013 - 17:56 | 3152230 Frozen IcQb
Frozen IcQb's picture

They will hold the line at 500 until they can't where 425 is the next stop down followed by 370 thereafter.

Mon, 01/14/2013 - 17:18 | 3152079 AccreditedEYE
AccreditedEYE's picture

Dr. Bernanke is also renownded for such effective policies as "banging the close" and "VIX-termination"....

Mon, 01/14/2013 - 17:15 | 3152081 BlueStreet
BlueStreet's picture

20 month held in Nov. and Dec. but has now broken.  S&P to follow.  

Mon, 01/14/2013 - 17:18 | 3152091 Kreditanstalt
Kreditanstalt's picture

Extend. Pretend. Hide.

Mon, 01/14/2013 - 17:36 | 3152150 Floodmaster
Floodmaster's picture

Everybody tries to turn some meaningless transactions of pieces of paper into real stuffs

Mon, 01/14/2013 - 17:34 | 3152154 Lore
Lore's picture

Entropy, bitchez.

Mon, 01/14/2013 - 17:54 | 3152225 adr
adr's picture

The stock market is now "The Economy". There is no business, there is no supply and demand, only a scrolling ticker telling you things are bad or good depending on the millisecond.

Don't shut the government down, the S&P might drop. Dell wants to go private, won't be allowed, ramp that fucker up so nobody can afford the buyout. No company may leave the apparatus.

The defense of this sick joke is appalling to me, and I like twisted humor.

A comedian I know from Pittsburgh, Anthony Jeselnik had his first TV run this weekend. He used a lot of his best jokes. One gem:

"After a show a girl came up to me, said how dare you joke about the Holocaust. I had family that died during the Holocaust. I said, funny you don't look Jewish. She continued with, there are some lines you don't cross. Hey, whoa I just paid you a compliment."

Mon, 01/14/2013 - 18:00 | 3152237 Cult of Criminality
Cult of Criminality's picture

Hell yea!

Toss your PMs. Get on the Bond train,get them certificates of paper.

Double down , Lever the hell up to the outer limits ,STFU & BTFD

(sarc) ...[quietly laughing

 

Mon, 01/14/2013 - 18:03 | 3152242 Downtoolong
Downtoolong's picture

yet no matter how close it got to breaching $500, and sending the company into who knows what stop loss tailspin, someone kept buying just above $500.

How hard would it be for TPTB to find out who and how if they really wanted to. A lot less politically difficult than to make it public to everyone else I guess.  What a sham of a scam these markets are now.

I bet Kevin didn't get to take lunch today.

 

Mon, 01/14/2013 - 18:04 | 3152246 TrustWho
TrustWho's picture

Is  the Fed actively buying stock? If so, how much do they own and where is it held?

Mon, 01/14/2013 - 18:10 | 3152268 tawse57
tawse57's picture

After hours someone is keen to keep the price up over 500.

Mon, 01/14/2013 - 18:15 | 3152280 StoleYourMoney
StoleYourMoney's picture

MMs hard @ work

Mon, 01/14/2013 - 18:25 | 3152320 Frastric
Frastric's picture

S&P can't seem to breach 1473, which is 807 points above the intra day lows of 666 reached on March 9th 2009...

Mon, 01/14/2013 - 18:54 | 3152423 reTARD
reTARD's picture

Could it be just to buy some time for their funds and banks to "rebalance" their positions?

Mon, 01/14/2013 - 19:55 | 3152566 Shizzmoney
Shizzmoney's picture

I'll have my pants down to my ankles when AAPL stock burns to the ground.  It will be so glorious.

Mon, 01/14/2013 - 21:06 | 3152720 orangegeek
orangegeek's picture

Earnings season is upon us.  AAPL will have to put up.

 

More importantly, the NASDAQ100 looks like it's ready to turn down.

 

http://bullandbearmash.com/chart/nasdaq100-hourly-falls-breaks-channel-s...

 

Apple follows its index - should be interesting in the next few weeks - to the downside.

Mon, 01/14/2013 - 21:42 | 3152777 SheHunter
SheHunter's picture

OP EX week my friends.  Enough said.

Mon, 01/14/2013 - 22:10 | 3152882 JPMorgan
JPMorgan's picture

Apple has lost it's mojo.

Competitors have caught up and have overtaken them on the hardware front now.

It was only a matter of time before they would get beaten at their own game.

Tue, 01/15/2013 - 00:00 | 3153139 TWSceptic
TWSceptic's picture

This isn't about hardware (or software). It's about expectations. Investors don't think Apple can keep up their profit margins with increasing competition. Prices will necessarily have to come down or sales will go down (they have already for iphone 5). With that in mind, the stock was grossly overvalued and overbought. I honestly saw it coming when it hit $700. I'm still surprised that not more people did.

Looking at the 5y chart though it seems it can easily reach $450 and still follow that long term trend line.

Tue, 01/15/2013 - 02:28 | 3153385 Flatchestynerdette
Flatchestynerdette's picture

We used to think of big things. Like going to the moon. The interstate highway. Now? the next upgrade to apple. that's not big - its little. we're slowing down as a nation of thinkers. Facebook? Same thing. slap on some advertising per page. everyone is migrating from FB to something newer but its a retread.

aapl at $500 today was Helicopter Ben using Goldie so the hedgies don't freak out and dump.

puts and calls. buy both. Ben won't let this go down the tubes but you can make some money when they announce - imo.

now, where's my ipo for SpaceX?

Tue, 01/15/2013 - 04:14 | 3153450 WTFUD
WTFUD's picture

Pretty much agree with you nerdette except for " slowing down as a nation of thinkers". The plethera of recent fuck you joe/ jane public exotic financial instrument(s) and other carefully designed " do i hang myself with the lights on or off " products leads me to believe that a lot of ( albeit mischievious ) thinking has been committed on a grande scale.

Mon, 01/14/2013 - 23:00 | 3153000 Mudja
Mudja's picture

IFail.

Mon, 01/14/2013 - 23:44 | 3153124 CoolBeans
CoolBeans's picture

There's been a déjà vu in the Matrix. It happens when they change something.

Tue, 01/15/2013 - 01:28 | 3153338 Nobody For President
Nobody For President's picture

Yeah. Jobs died.

Do NOT follow this link or you will be banned from the site!