Apple’s Death Cross Doesn’t Scare This Analyst
Just because the carrier had made a deal with the Finnish phone company, it did not mean that a partnership with Apple wouldn’t happen. “Why would it need to be mutually exclusive?” Munster asked. For a wireless provider to carry multiple devices was normal course of business, he added.
Collin Monsarrat, an analyst at Birinyi Associates, also pointed out that Apple shares had reacted positively after each of the five death crosses it has seen since November 2000. “The data is fairly inconclusive, but if it shows anything, it is that a death cross implies better performance,” Monsarrat told The Wall Street Journal. “The stock has tended to struggle for the week and month following the cross, but three months later the stock has tended to be not only up but outperform the S&P 500 60 percent of the time.”
Munster and Monsarrat were reacting to Apple’s fall of 6.43 percent on Wednesday that took the stock to $538.79.
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