Apple Stock Could Pop Monday: DeMark
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Although it might seem "outrageous," Apple shares could open up next week, Market Studies CEO Tom DeMark said Friday on CNBC.
"If you look at Apple's entire decline, the most number of consecutive down days has been three," he said on "Fast Money."
Apple's share price declined three days in a row on Dec. 14, after which it climbed, and again on Dec. 21, followed by the stock trading sideways.
On Friday, Apple stock posted three consecutive days of losses, which DeMark noted were within "a very narrow trading range."
"That typically is indicative of a market turn," he said.
"It would not be outrageous to expect a gap up on Monday," he said. "We could turn to the upside on Monday and produce an island reversal."
(Read More: Apple Stock Bottoms Here, Tom DeMark Says)
DeMark pointed out that other things were happening in the market, as well.
"The bond market produced a 'buy' signal two days ago," he said, adding that the Shanghai index was about to indicate a "sell" signal.
Trader disclosure: On Feb. 1, 2013, the following stocks and commodities mentioned or intended to be mentioned on CNBC's "Fast Money" were owned by the "Fast Money" traders: Steve Weiss is long BAC; Steve Weiss is long TBF; Steve Weiss is long RIMM; Steve Weiss is long AIG; Steve Weiss is long C; Steve Weiss is long PCAR; Jon Najarian is long CRR; Jon Najarian is long JPM; Jon Najarian is short CRR calls; Jon Najarian is short JPM calls; Jon Najarian is long IMAX; Jon Najarian is long ANN; Jon Najarian is long TER; Jon Najarian is long WHR.
