The amount of negativity around Apple's beats acquisition is amazing. There are plenty of level headed thoughts out there from the pro investors, but it seems the majority are doing whatever they can to spin it negatively. It's become clear that many don't just dislike the acquisition, they hate the stock. It's a very healthy and bullish sign for the stock over the next few months.
So what's driving this hatred of the acquisition? You could say people just like spotify (why does it even get brought up? Apple didn't buy beats for the streaming) and of course folks definitely don't like paying 200 bucks for headphones! Alas, I doubt that's the case.
What's more likely driving the negative commentary is market dynamics. Apple was the most widely held stock in the world when it topped in October 2012. The investing public suffered a wide world of pain as shares dropped from 670 to 400 while everything else kept going up. It's likely many sold way below the 600 level for a big loss and now can't stand to see the stock above where they sold.
So what does it mean for the stock? It means there is a very healthy bid here and it's in a great technical position over the coming weeks and months. Of course this doesn't mean the stock can't pull back, but pull backs are good long opportunities.
Trade 'em well
