SSS - Price Targets for AAPL, AMZN, CMG Shorts
All three of these stocks are exhibiting signs of breaking down. Based on our discussion last week, if one is short any of these names, there are several downside price targets to consider, assuming the trades continue to work and we are not stopped out going forward. Most of this will, of course depend on the general market's movements. If we do break the lows and begin a new downleg these will likely "lead" the market to the downside, in our view.
AAPL: 366.48 low of early September could be one logical undercut area. A move down to the 200-dma a taround 353.34 would also coincide with a test of the early August lows at around that same price level.
AMZN - stock still has not broken its 50-dma, so any short from here is looking for a breach of that moving average before getting stopped at the 20-dma at 224-225. AT that point it would make sense to determine a price target.
CMG - stock just undercut the early August low of 297.70, which could set up a small undercut & rally, although we might consider such a move shortable. Downside target after that is the 200-dma at 276.96 and the mid-August low at 271.53.
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