 Good afternoon everyone. This is Melissa with the stockswish.com and welcome. Welcome to Apple. I did a preview of this yesterday before the earnings and lo and behold Apple did in fact gap down on the earnings. So Apple is really, really lower now. It's one of these things where when I did the preview on the earnings I said that Apple had to come up and gap up to 600 to correct the chart. Apple had to gap up to here to be back in an uptrend. Apple actually was not in an uptrend. All of this here is nothing. It's just Apple trading and I know that a lot of people read Apple that it was corrected back in an uptrend and that was false. That wasn't correct. It's very important to understand how to reprice and trends and it's not about pivots. If every lower high and higher low and higher high and lower high determined a trend then people would never get stopped out of trades and it'd be very easy to trade actually. And it's not about the pivots. It's about reading gaps. That's what tells you. Gaps make the trend set the trend and change the trend in the chart. So Apple was very close to correction and when I did the preview video yesterday I said Apple absolutely without a shout of it out had to get up to 600 yesterday to correct the chart and be back in an uptrend and it didn't do it. It did not do it and it had to do it because it was too close to the number not to do it. So the fact that Apple gap down today is actually tremendously horrific for the stock. I don't know if anybody actually knows that except for people that reprice in the matter that I do but it is. This is very bad for Apple here today. I know it doesn't seem like it is but it is because Apple is confirming today that it is going to halt the downtrend and it is not going to do a correction back into an uptrend. Today is the confirmation. The confirmation of Apple doesn't break 500 today it will tomorrow. I actually did short this. I'm actually in this short now. If this is so late to be in a trade here but I didn't get this this morning and then I was wishing I had and wishing I had and wishing I had and it did a beautiful beautiful beautiful five minute here and I just decided to do it. So first of all let's just go over it. Let's just go over the whole thing. Here's the five minute. Apple drop down in the morning was great and I took my eyes off for a second and missed the trade. Broke the low but bounced hard and ran up to the absolute last resistance level that it had to hold on from where it opened in the morning. Okay which was 5.15 you actually could have shorted at 5.15. I gave the number in the room at 8 o'clock in the morning that 5.15 was a resistance. You have shorted it at 5.15. So that was the confirmation then even though went over the high of the day and even though it was late I said Apple is going to go back down and go right again today. Apple was right here. Flipped went green. I said Apple is going to go back down right again today. So here was the short. You didn't need any more confirmation this because it triggered and you had the number and the time of the day was good and the gap was great. The gap today in Apple was just tremendously terrific. Fantastic. Fabulous. 23 points. Then you could have also done this. It was a huge stop. I mean every stop in this today is huge. Actually this is probably the best stop this had all day. I guess that's why I decided to do it. Anyways broken here. Rallied up here. Time of the day to enter trades around lunch is not the best but many many many many many many many times things break in the afternoon. So when Apple ran up here and didn't get over 5.11 and did a retest here. I mean this is actually perfect people. Did not get over 5.11 and did a retest here for the number. I decided to do this. This is the best stop that Apple had all day and this is a crazy stock to trade when it moves but it's fun. I gotta tell you that. This is one of these ones where I still think that Apple could break the load today and break $500 but I'm out of half the trade because this is just too much in here. Came down in here. Let's go to the one minute. And the other problem is you can't lower the stop. So if you're in a trade and you can't lower the stop to stay in into the bigger number you only got two choices. A. Take half the trade off. B. Take the whole trade off. Or three stay with the whole trade but if you're up too much that doesn't make sense. So unfortunately it's one of these things where I want to try to stay through this basically in the clothes now if I can. And the stop on this can't really be lowered to stay through the larger move. And at this point now if the rest of it trails it does because it just can't be lowered. Here's it. Here's it is on the one minute. It's really really nice. So this is a nice trade here. Okay. And this is what I mean by this as well. Look at that bar. But you know it's just one of these things in Apple. This is how this stock is. Time of the day is good here though. Two o'clock. Two o'clock I'm still breaking. So the first target is the low of the day which is 502 something and after that I mean it's just until it falls in the clothes. I mean this is this is the reason why I'm still in half this trade. I think this falls and drops right into the clothes. So let's go over the gap. I did not short Apple when it first broke. And I also didn't take a core trade in Apple or a swing trade in Apple to the downside or anything like that. You know in last year in 2000 and well 2013 yeah. I've got to tell you though when you get to a point in your trading where you're seeing things and your your trading and your trading is doing very well and you're seeing things before they happen. It helps your confidence a lot. It helps this thing called conviction. Something that I talk about just a tremendous amount because it's real. It's not like this make believe fantasy thing. This idea of having conviction and believing in what you do helps you train the market successfully because it helps you take risk. And so even if you don't take a trade like I did not take a swing or core trade in Apple. I'm not Apple overnight or anything. I mean this right now is a day trade. I'll be flat this before the end of the day. But you know seeing this and seeing the bigger picture here play out helps my conviction in what I do as a day trader and eventually at some point to take overnight trades as well because I'm tracking them too. And so all of this is good. You really in order to take risks you have to have confidence and conviction in what you do. And I think it lessens the risk of the trade because you're never going to get around the fact that you're risking money to take a trade. So you have to find a way to get around it emotionally which is having conviction and believing in what you do which I do. I believe highly in what I do and every time I see it play out even in calls that are that are calls that no one else would make. It really really helps my conviction which is what happened here in Apple. So the original target that I had an Apple that I announced and did a video on a year ago last summer whenever it was is in play and Apple is going to continue now to the downside and the target on Apple the first target on Apple for an overnight longer term trade is three seventy three sixty five three sixty three fifty five and three fifty Apple without a shot of a doubt is going to get to three sixty three fifty five three fifty. I mean it is now it's confirming it. So this is a short it's been a short it was never not a short ever since it gap down here and it's been running red and all of this in here all this is going on is people now realizing that they don't want to buy back into Apple. So that's one of these things that there was an article this morning somewhere Carl Carl Icon somebody put it in the room was buying more of Apple today. One man alone could not hold up and support a stock. It's just not possible at least not a stock like this. So you know but Carl Icon can buy Apple here at five hundred four hundred three hundred six hundred he can buy it anywhere he wants and and stick with the trade deal longer term trade until Apple does correct itself. He can be in this trade forever if he wants to probably but the fact is that Apple is heading lower next right now today and and and until it corrects itself back and up trend which what I'm saying here is important about this gap today is that is it a very significant gap for this chart. It's confirming the downside direction. It's confirming that it is going to go to three sixty three fifty five three fifty and Carl Icon can buy all of it that he wants but if no one else wants to buy Apple and put Apple back up in an uptrend it's not going to go there and when the earnings came out last night they didn't want to buy it. The power is a B the power of many people the people that control the stock did not want to buy Apple and instead what happened was they sold out of some more of their long position in it. When the shorting comes into Apple the large shorting I don't think it's going to be till probably you know under 400 and heavily under 350 and so that's why this is you know these are some very significant areas in here because I think shorting could come into Apple which is not happening right now more selling came into Apple today at three fifteen more selling came in here. Some people bought this here but do you see more sellers took it took it out and held it down it's very easy to reprice for me this is what I teach people to do read gaps but you also have to reprice what's happening here with Apple the people in control or who the people in control are not the bulls okay Apple got sold off here the people in control are not going to let Apple get back over five fifteen today okay I didn't let it get over five fifteen this morning even through the rally even where it got bought here do you see because more selling pressure came down on Apple here at five fifteen right at the number that I said so it's two more hours left in the day amount of half this train there's no place else to put this up I got probably the best entry this about that there was today I wish to would have got it this morning I watched it but I took my outfit for one second and missed the trigger and that's how it is Apple will close today bearish in this gap and if it does not break five hundred dollars today it will tomorrow I wouldn't I wouldn't put it past Apple to actually gap down tomorrow no matter what it does today whether it breaks five hundred breaks new low breaks low the day because it's not going to get to the dream target here today which was four eighty so Apple could gap down here tomorrow I think it does I think it does actually I'm seeing this here but we'll see where this goes here to the end of the day I'm really happy I did an afternoon trade here it's okay to do an afternoon trade once in a blue moon I don't really like to trade the afternoon but every once in a while you get a good get a good trade you get a good setup you get a good entry and then you just feel like you got to do it and good practice for anyone that traded Apple today because it was one of those gaps that I had so much conviction in so much conviction and the overall chart so I teach people how to read gaps and rate gaps in the golden gap class but in the trends class I actually review Apple I have had it in the class ever since all last year all my all the goings on about Apple I have all the detailed numbers everything the whole thing in the class and I know that people that did the class are watching this one of my clients today's been whoever since I did the class has been watching Apple to see if it plays out the way I thought and obviously saw the gap down here today so it is what it is this is Melissa with the stops stockswish.com if you'd like to take the next golden gap class it's February 8th and 9th you can email me at Melissa at the stockswish.com Apple is down it's been a downtrend again this is something that probably no one else but me read it this way or very few people anyways nobody I know nothing I've ever seen out there on the internet you really have to understand price and gaps and there are people that do or there wouldn't be people that make millions and billions of dollars in the market but I'll say one thing this was challenging to read it this way I did a great job doing it Apple is in a downtrend has been in a downtrend has stated a downtrend is in a downtrend is going to continue in the downtrend and it's going to 360 355 350 and if you are still in Apple long and you want to be in it for a long long long long time great but it's one of these things where if you're up in Apple money you know you got to really think about taking possibly some of your profits out Apple is going to drop big time here and I don't know the timing of when okay but today confirms the downtrends intact and staying there and that Apple is not going to go back into an uptrend here anytime soon and I actually don't think it's going to this whole year now because this gap today was really really bad so it's very important to learn how to re-gaps I don't think anybody that trades in markets should not know how to re-gaps I think if you trade in the live market you need to understand gaps and know how to read them whether you trade them or not as a day trader swing trader court trade is up to you but if you don't understand how to re-gaps you don't know how to read this right here today and you might have tried to buy it you might be buying it now you might think this is a buy here and you might think it's the best buy in the world or some kind of cheap buy but it's not it's a short it's a short as a day trade it's a short as a swing trade it's a confirmation of a short as an overnight trade too and Apple's in a downtrend so you don't buy stuff that's in a downtrend okay really really something here so we'll see where this goes today and when it does tomorrow this is Melissa with the stockswish.com if you'd like more information email me at melissa at the stockswish.com thanks everybody have a great day