Earnings, Earnings, Earnings

This week two tech bellweather companies will be reporting earnings: Apple Computer and Google. Both companies are extremely profitable, but both companies also have had a nice run up in stock price since 2q earnings. Many experts expect Google shares to pass $500 a share by year end. This is possible with a blowout 2q earnings number from Google. Apple has rebounded from about $50 share a few months ago to about $75 currently. That is a 50% gain, but Apple is still shy of its all time high of around $86 a share. I think both stock are core long term holdings for any technology and/or aggressive portfolios. If the stocks get hit on weaker than expected earnings, I like the "buy on the dip" mentality for this two companies. Technically, both stocks looks good. Apple coming out of a head and shoulders formation when it traded above $75 a share and Google reversing a 6 months downtrend and resistance levels around $420. There is a pretty good likelihood that one or both of these stock may swing 10% or more after the earnings release.