If you’re an Apple lover, chances are you can't wait to get your hands on the new iPhone5 out Wednesday. But if you’re an investor, should you be as excited to buy Apple's stock?
Historically Apple shares run into a product launch and then sell-off thereafter. And on Monday shares sure turned south.
Should you anticipate the pattern to repeat itself? Or is this launch different?
With the market trading so technically, trader Guy Adami, managing director of stockMONSTER.com, suggests looking at the price action. And the price action is negative - very negative.
"We had an outside reversal day, Adami explains. In other words, Monday's high was higher than Friday’s high but the stock closed significantly lower than Friday’s low of $675.
"In fact we could see an outside reversal for the week," adds Adami. "Technically, the price action gives me pause."
Trader Joe Terranova, chief market strategist for Virtus, and Trader Tim Seymour, founder of EmergingMoney.com largely agree.