Apple Inc. AAPL shares are trading lower by $3.25 at $115 in Wednesday's session. The frenzied price action is taking place as investors re-position themselves in the issue after its Q4 report.
With about four hours remaining in the session, 36 million shares changed hands compared with its 20-day average of 30.8 million.
Expectations were quite high for issue as it was priced for perfection after its rapid price appreciation since its Q3 report on July 26. Following a Q3 EPS, the issue has been a stellar performer, especially taking into consideration the malaise in the broad market since that date.
In fact, Apple posted its highest close since December 8 on Tuesday, when it ended the session at $118.25. Interestingly, that is only a few pennies above the close from that day. Tuesday's close marked a healthy 22 percent gain from its pre-earnings close of $96.67 on July 26.
Off a lower open, it continued in that direction, falling to $113.31 before mounting a comeback. That low comes in just above its October 6 low ($113.51) and just below its October 7 low ($113.51).
The ensuing rally has taken the issue into the $115 handle with the current high standing at $115p.25. In order to fill the void in price action from Tuesday's session, it would need to reach $117.31, which is the lower end of Tuesday's range.
If the decline continues, there may be additional support at the trio of lows at the $112.50 area from October 3 through October 5.
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