AAPL Triangle Breakout
This week, AAPL, as a likely direct result of the success of its iPhone sales/hype, broke out of a triangle consolidation chart pattern.
Remember the market rule “Price alternates between expansion and contraction” as supply and demand gets imbalanced following a period of quiet (rangebound) trading.
Price is now extended short-term above the upper bollinger band, and almost all oscillators are showing overbought conditions.
Use this as a study in the pure triangle consolidation pattern. The buypoint would be slightly (enough) above the apex, or at least outside the converging trendline. A stop would be placed either on the other side of the trendline (aggressive) or within the trendline following the break (conservative).