GO
Loading...

Bulls Stage Comeback Into the Close, but Why?

Monday, 22 Oct 2012 | 5:23 PM ET

After sliding lower for most of the day, stocks bounced at the end of trade, and finished the day in the green. Why the huge reversal of fortune?

The Fast Money pros largely believe a turn in Apple provided the catalyst that buoyed the entire market into the green.

Apple finished its best day in five months after Goldman Sachs said now is the time to buy Apple stock.

n a note the firm called Apple "oversold," and said to expect a big bounce back to end the year.

What Was Behind the Market's Huge Reversal of Fortune
The Fast Money traders look at the catalysts that turned a sharp sell-off into a positive day in the stock market.

"A lot of folks were significantly short of both Apple and the market," added OptionMonster Jon Najarian. "And the Goldman note sent the shorts scrambling. It turned things pretty dramatically."

Looking at the technicals, Apple results due on Thursday October 25th after the bell, could make or break the market. The S&P 500 closed on Monday just below its 50-day moving average of 1,434 - seen as a strong support level.

In case you're wondering, Goldman has a "buy" rating on the stock and a price target of $810.



Posted by CNBC's Lee Brodie

______________________________________________________
Got something to to say? Send us an e-mail at fastmoney-web@cnbc.com and your comment might be posted on the Rapid Recap. If you'd prefer to make a comment but not have it published on our Web site send those e-mails to fastmoney@cnbc.com.

CNBC.com and wires

Contact Fast Money

  • Showtimes

    Halftime Report - Weekdays 12p ET
    Fast Money - Weekdays 5p ET
  • Melissa Lee is the host of CNBC's “Fast Money” and “Options Action.”

  • Scott Wapner is host of the "Fast Money Halftime Report," which airs weekdays from 12 p.m. to 1 p.m. ET.

  • Guy Adami is a contributor on CNBC's "Fast Money." He also is managing director of stockMONSTER.com.

  • Najarian, the "Pit Boss," is cofounder of optionMONSTER.com, a news site for options traders.

  • Finerman is president of Metropolitan Capital Advisors, Inc., a company she co-founded.

  • Founder of EmergingMoney.com

  • Chief Market Strategist for Virtus Investment Partners & CNBC Contributor

Halftime Report