If the iPhone 4 was really a flop it would be because consumers genuinely did not like the product and I would tell you to exit the stock because the string of Apple innovation had run its course.

That is not the case here. The iPhone 4 is off to the best sales start of any smartphone in history, Apple can't keep it in stock, and 80 more countries are eagerly anticipating the international launch this fall.

Investors should be buying this slingshot dip as the bounce will be fast and furious when it arrives.
At the time of publication, Schwarz was long Apple.

Jason Schwarz is an option strategist for Lone Peak Asset Management in Westlake Village, Calif. He is also the founder of the popular investment newsletter available at www.economictiming.com. Over the past few years, Schwarz has gained acclaim for his market calls on the price of oil, Bank of America, Apple, E*Trade, and his precision investing in S&P 500 option LEAPS. His book, The Alpha Hunter, is set to be released by McGraw Hill in December 2009.

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