By Ric Spooner, CMC Markets Australia Apple’s latest product launch provided enough encouragement for investors to produce a positive trading session. Its stock rallied 2.2% last night. However, Apple’s rally off the lows of late August has the look of unfinished business. Trading on an undemanding multiple of around 12.3 times forward earnings, the Apple chart has formed a pennant pattern. Given Apple’s size and market leading status, this could have implications for US stock indices Pennants are seen as continuation patterns where a clear break through the top of the pennant indicates resumption of the uptrend. If that happens the next test for Apple could be the zone of resistance around its 200 moving average at $121 (green line on the chart below) CMC Markets is an execution only service provider. The material (whether or not it states any opinions) is for general information purposes only, and does not take into account your personal circumstances or objectives. Nothing in this material is (or should be considered to be) financial, investment or other advice on which reliance should be placed. No opinion given in the material constitutes a recommendation by CMC Markets or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person.