Apple Back to the Brick Wall

There's a little wiggle room because of fluctuation in the market, but Apple and Microsoft are still pushing 25 percent of the Russell 1000 Growth Index. As explained here, this makes for a headwind because fund managers may be forced into selling Apple should it outperform. Or if a stock such as Amazon outpeforms, the fund will have to sell Apple or Microsoft to make room for it under SEC rules.

This chart shows teh equal weight Russell 1000 Index divided by the market cap weighted index. Another view of the rally in stocks, as this ratio peaked in June right around when the stock market bottomed. Bears should keep Apple on their list of prime short candidates.

Apple itself: