Apple Inc. (APPL) is one of those stocks I love to trade because of its easy to define channels, trend lines, support and resistance, and impulsive wave patterns.
Even though I own a Macbook, several iPads and iPhones, as well as an Apple TV, I no longer see an innovative company with clear vision of the future. What has kept Apple's stock at lofty levels has been their ferocious buyback programs and their new champion Warren Buffett, whose company, Berkshire Hathaway, owns over 250 million shares. With all due respect to the Wall St. guru, he should've started buying 3 decades ago.
Technically speaking, Apple is about to face certain headwinds.
Apple initially broke down from a rising channel in October 2018, then a broadening wedge (blue) in mid-November. This helped confirm the end of a 5 major wave up pattern and an overdue correction (A impulse wave). The stock tumbled from a high of over $233 to a low of a $142. It has since bounced along with the rest of the market and has been neatly trading within a rising channel forming the "B" impulse wave. A failure and dump below the 10 day EMA should set up the final leg of the ABC pattern and a test of the long term trend line.
FlashPoint Trading's initial target is $186.49 with the potential to collapse back to the mid $140 level. Like my analysis? Be sure to follow my other recommendations :)