AAPL has bounced about 10% since reaching our 144.48 target back on Jan 3 [see: AAPL Cracks the Market.]In the process, it has completed a bullish Inverted Head & Shoulders Pattern — which it has, so far, declined to take advantage of.  This is a very interesting development, as the stock has rarely failed to capitalize on such patterns in the past.

As we’ve documented over the years, AAPL is a veritable poster child for pattern manipulation [see: Engineering AAPL’s Breakout.]  The primary tool has been the buyback, which begs the question: will the current overhead resistance fall victim, or is there something more bearish at play?

continued for members…

With its latest earnings an hour away, it’s a good time to check the most likely targets. Note that it’s had several opportunities to push above the neckline. On the upside, the IH&S plays out and AAPL tags it on the way to the .382 at 178.46.   To the downside, the .786 and .886 at 120.29 and 105.89 remain the obvious choices.Stay tuned.

UPDATE:  5:00 PM

Initial resistance…