Short Apple before earnings

28 ott 2019

Apple Iphone 11 pricing along with apple tv might be a masterstroke on which apple was able to ride the wave and reach 1.11T market cap, but there are problems which are not being seen. yes apple isnt just a hardware company anymore, their services are good, apple music is popular, apple watch is the best selling smartwatch and i think even iphone 11 might become one of the best selling phones solely due to its pricing. but with other chinese competitiors rolling out 5g models with good camera tech (apple is still one of the best smartphones with cameras) and unique screens and features, i feel iphone is lagging behind the game and losing the market cap as you can see from the reports.

coming to apple tv, pricing is genius but the contents are quite limited. Limited enough to not threaten someone like netflix, disney or even hulu/amazonprime /hbo . Bringing it to roku services definitely helps but still competition is huge and with limited content dont see it flourishing. not yet!

besides these points, i just feel apple is super overbought from 215 usd positions and thus needs a healthy correction before going back up. earnings can be quite close but overall there is a good downside potential than upside.


position open short 248

TP 240

Tp2 230

If earnings are bad, i expect apple to fall atleast by 10-15%. which makes it around 210-220 range

16 gen 2020

Trade attivo

Keeping the shorts still since i am quite sure the pullback to 250 is imminent. In fact i have increased my shorts on this bubble