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Morning Note: Trading Secrets Behind Apple's Success

Trading the secrets behind Apple’s success was the focus for the Fast Money team Friday as Apple shares recovered from a sharp selloff the prior day.

Apple shares nosedived Thursday after hitting all-time highs the prior day on reports of small lines for the iPhone at Verizon stores and rumors that CEO Steve Jobs had returned to the hospital. Apple was higher today on a Wall Street Journal report that Apple's CEO was effectively running the company from his home.

"Yesterday, when Apple took the hit, there were a lot of things swirling around," said Short Hills Capital's Stephen Weiss.

The volatility, and Apple's recent succession of new all-time highs, made the Fast Money traders look for other ways to trade Apple's growing phone and computer marketshare. Fast Money's traders were looking to cash in on the chip companies reportedly powering Apple’s second-generation iPad and new MacBooks.

Kanundrum Capital’s Brian Kelly was buying Intel. This week, CNET and Apple Insider reported that Intel’s Sandy Bridge processors will power as upcoming version of Apple’s MacBook Air, scheduled for June release. Other Apple blogs such as Mac Rumors were betting that the latest MacBook Pros will also feature Intel’s Sandy Bridge Chips.

“Relatively reliable resources…say the new Sandy Bridge processors are going to be used in the new MacBook Pros,” said Kelly. “I bought a little Intel .”

Kelly’s bullish bet that MacBooks will drive Intel sales was understandable. Apple has had considerable success with its Mac sales recently. It sold 4.13 million Macs in the prior quarter, a 23 percent increase over the same quarter in the prior year. Those sales soundly beat analyst projections.

For the best market insight, catch 'Fast Money' weekday nights at 5pm ET, and the ‘Halftime Report’ each afternoon at 12:30 ET on CNBC.

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