Another 100% gain on the way here?

At the end of January, I highlighted this stock as both a short and long-term play.

In the short-term, it’s rallied $15 or 10%. That’s a nice move for less than a month and could have yielded over 100% in any of the April 165-175 call option strikes.

Click here to see why now it the time to look for a similar move again

The QQQ is consolidating at its 200-day moving average, and if it breaks higher Apple (AAPL) is poised to run 10% quickly.

Additionally, as I pointed out in my January 25th piece on AAPL, its December low bounced off of its 200-week moving average. This historically has represented a long-term low.

A 10% move from here would put AAPL up against its 200-day moving average.

While this would be a likely place to expect it to stop for a while, it also sets up a longer-term opportunity.

If it breaks above its 200-day MA, it will be viewed as back in a bull trend.

This would create a powerful reason for the bulls to push it higher still.

As you can see in the chart below, AAPL has consolidated in a tight range of about $168.50 – $173.30.

The trade set up is to enter over $173.50 with a stop under $168. $170 could also be used as a tighter, but less reliable stop.

I expect some resistance at $185, and then the 200-day area comes in around $190. If it gets there in the next 30 days, the May and June 190 calls will likely have gains of over 100%.

If it takes out the 200-day moving average, $210 looks like a very reasonable expectation. That would be a nice $35 move from here, and it will still be 10% away from its all-time high around 233.

Trade smart,

Rick Nartarian, Chief Investment Officer
The American Investor Daily