Citi Says Apple Is Ripe For A Continued Rally

Joel Elconin is the co-host of Benzinga's #PreMarket Prep, a daily trading idea radio show.

Apple Inc. AAPL shares were trading higher by $0.71 at $114 in Monday's session. The catalyst for the rise is a note from Citigroup adding it to its U.S. focus list.

After a lower open, it immediately bottomed at $112 and began to move higher. So far, the rally has exceeded the double top from Thursday ($113.24) and Friday ($113.31), reaching $114.53 before retreating to its current level.

The current intra-day high coincides with its August 20 high ($114.35). Since bottoming at $92 last Monday, Apple is trading higher for the fifth consecutive session.

If the rally continues over the next few days, there may not be any identifiable resistance until its August 19 high ($116.52).