Apple is seem to be heading back home to under 100.
The lowering volume , H&S pattern, and 3 black crows are all pointing to a bearish trend .
The 200 MA is also being tested for the third time. And 200 MA doesn't like to be tested too many times! so if it breaks down, our first target is guaranteed.
But there is a slight chance of reversal at this price point and that's if we see 125-126 in the next few days. Otherwise, it should go down under 200 MA and hit around 122 and that's when the real bearish trend begins. In that case, the second target is where the gap formed on July 31st 2020 should be filled. So let's watch this closely and see where it lands in the upcoming days.
I don't know if it will completely break down, but I don't think it's going up for a while. If you look at what happened in 2012 with this stock it had a huge run-up and then struggled to make new highs. It hung out for a bit at the top and then had a bad couple years before it made new highs. The cash flow multiple on the company is much higher than the median and it's not exactly growing any faster. If I was going to play the downside I might buy some itm puts with about 6 months on them because I don't love to short in a bull market.
iGoddard
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Good analysis! While it was probably a coincidence, it seemed like right when APPL shares split, that marked the exact end of its upward momentum. I don't know why that would be causal, so, again, t'was probably just a coincidence. In contrast, that it was massively oversold wasn't a coincidence. But maybe somehow the split caused people to recognize that.
Realamh
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@iGoddard, interesting point! As a technical analyst I can't comment to those events but the chart is talking to me!