Stock Market Analysis – 01-14-2009
Retailers were worse than expected, Citigroup (C) is falling apart, and oil continues to die. That all adds up to another down day with increasing volume now. The holidays make reading the volume funny, but the rise in volume during the immediate downtrend is unmistakable. On top of all that, after the market close Apple (AAPL) confirmed the fanboy’s most dreaded fear: Steve Jobs is taking a medical leave of absence.
Everyone knows how important Jobs is to the company, but I believe they’ve grown bigger than him now. The roadmap is probably laid out for the next couple years already, and it would take some serious missteps to kill the momentum that they have now. Hope that people overreact to the news and give the stock a beating, and at the very least it will present a nice swing trade. No guarantees on how AAPL will deal with this over the extended timeframe (2+ years), but I still see them as an attractive stock if the market recovers before then.
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