Apple showing first buy signal in six months

The proprietary signals I had coded are firing off a buy signal on Apple.  Note the bullish divergence paint signal on the Tradestation chart.  The last time this happened was on 8-27-10 and Apple went on a unparalled tear upwards of 80 points.  There are a lot of fundamental reasons to buy Apple.

1.It’s cheap versus the market or any other benchmarks.

2.The product cycle is explosive.  No Company in the history of technology is at a sweeter point than Apple is now.

3.Earnings are on the 20th.  They will be blowout.

Negatives are well-known.  Steve Jobs may not be coming back and is irreplaceable.  Parts shortage from Japan  overblown.  Apple couldn’t fill the orders for the Ipad before the earthquake.

Recent reports on lacklustre growth in the P.C. notebook are directly attributable to the Ipad.  The netbooks are counted in these notebook totals.   Even though the Ipad is worthless as a business tool, it is emasculating the netbook market.

I can’t tell if Apple will make new highs on this move.  The only real negative on Apple is that everyone owns it or loves it already.   Check out the chart below to see the last time Apple painted the charts in the same way.