4 ms·

More: http://seekingalpha.com/article/1002601-buy-apple-on-january-18 http://seekingalpha.com/article/1002601-buy-apple-on-january... > But now, however, the g

by barredo 14y ago

More: http://seekingalpha.com/article/1002601-buy-apple-on-january-18 http://seekingalpha.com/article/1002601-buy-apple-on-january... > But now, however, the gains of the Summer have come back in and Apple's share price has only to stay flat for the next two months for all those call options to expire worthless. The institutional money managers that wrote those options, if they were to try to manipulate Apple's share price, have a lot of incentive to keep Apple in place for a short time, then drive it higher: > Apple is getting a lot of buzz for being undervalued here, but there is an enormous amount of pressure on the price at these levels that will be lifted after options expiration. If you like Apple, consider having some patience here and making a buy at the end of the day on Friday, January 18th, 2013.

dizzysoul 14y ago
Wow. Maybe it's naive for me to ask, but is this even legal?
- dj_axl 14y ago
  > is this even legal? At least this is a stock, not a commodity like ahem oil.
- btian 14y ago
  Absolutely. If someone else (preferably rich) thinks that $500 doesn't justify true value of Apple, he could buy in the market, and good luck to short-sellers to borrow so many to sell. My guess is that it's just some insider selling, and it's coincidental that it closed at $500 on option expiry date. Otherwise it would be hard to explain how it ended at $486 on Wednesday.
  - kjackson2012 14y ago
    It's not legal. It's price manipulation. However, the SEC doesn't care, because it's very hard to prove.
    - travisp 14y ago
      If you're sure the price is being manipulated low or high in the short term, then you have a very easy money making opportunity.
ajaymehta 14y ago
Fairly tempted to put in an order for some AAPL now...
- btian 14y ago
  Wait till earnings announcement. Could be a disappointment.
  - ajaymehta 14y ago
    Thanks. But do you think it'll gap up on Tuesday when markets open?
    - btian 14y ago
      I don't know. Earning conference call happens at 5pm EST, after the market closes. Just saying that if you're an investor as opposed to a short-term trader, there isn't that much difference between 500 and 550 if it's going up to 1000, and there isn't much difference between 500 and 450 if it's going down to 200. Of course many people will disagree but hindsight is always going to be 20/20, and many people like to pretend that they know something.
      - ajaymehta 14y ago
        Right -- good call. Thanks for the advice.
  - confluence 14y ago
    The way both of you are talking about trading this stock indicates that you both aren't qualified to trade. But then again - there aren't any tests to pass before one can trade - so trade away. But remember - you both look like dancing pigeons to professional traders (http://rationalwiki.org/wiki/Skinner_box http://rationalwiki.org/wiki/Skinner_box).
    - btian 14y ago
      I already own 10 shares of AAPL way before it went up to 500/700. Not selling anyway. Just saying... I'm not a trader in any way or form.
incision 14y ago
Keep in mind that anyone can put up an "article" on SeekingAlpha, it's all user-generated. Bleacher Report for finance.
- wiredfool 14y ago
  Like anything, 90% of it is crap, but there are a few good articles there. Just don't try to contest dividend growth investing, since they tar and feather people who don't believe in it.

by barredo 14y ago

dizzysoul 14y ago

Wow. Maybe it's naive for me to ask, but is this even legal?

dj_axl 14y ago
> is this even legal? At least this is a stock, not a commodity like ahem oil.
btian 14y ago
Absolutely. If someone else (preferably rich) thinks that $500 doesn't justify true value of Apple, he could buy in the market, and good luck to short-sellers to borrow so many to sell. My guess is that it's just some insider selling, and it's coincidental that it closed at $500 on option expiry date. Otherwise it would be hard to explain how it ended at $486 on Wednesday.
- kjackson2012 14y ago
  It's not legal. It's price manipulation. However, the SEC doesn't care, because it's very hard to prove.
  - travisp 14y ago
    If you're sure the price is being manipulated low or high in the short term, then you have a very easy money making opportunity.

ajaymehta 14y ago

Fairly tempted to put in an order for some AAPL now...

btian 14y ago
Wait till earnings announcement. Could be a disappointment.
- ajaymehta 14y ago
  Thanks. But do you think it'll gap up on Tuesday when markets open?
  - btian 14y ago
    I don't know. Earning conference call happens at 5pm EST, after the market closes. Just saying that if you're an investor as opposed to a short-term trader, there isn't that much difference between 500 and 550 if it's going up to 1000, and there isn't much difference between 500 and 450 if it's going down to 200. Of course many people will disagree but hindsight is always going to be 20/20, and many people like to pretend that they know something.
    - ajaymehta 14y ago
      Right -- good call. Thanks for the advice.
- confluence 14y ago
  The way both of you are talking about trading this stock indicates that you both aren't qualified to trade. But then again - there aren't any tests to pass before one can trade - so trade away. But remember - you both look like dancing pigeons to professional traders (http://rationalwiki.org/wiki/Skinner_box http://rationalwiki.org/wiki/Skinner_box).
  - btian 14y ago
    I already own 10 shares of AAPL way before it went up to 500/700. Not selling anyway. Just saying... I'm not a trader in any way or form.

incision 14y ago

Keep in mind that anyone can put up an "article" on SeekingAlpha, it's all user-generated. Bleacher Report for finance.

wiredfool 14y ago
Like anything, 90% of it is crap, but there are a few good articles there. Just don't try to contest dividend growth investing, since they tar and feather people who don't believe in it.