Looking to trade AAPL at 110.71 with a stop at 107.77
The reason I like this trade is because apple is going to close above the 200 Simple Moving Average (200 MA). I plan for Apple to retest this 200MA which will trigger my entry. I set my stop below the 50 EMA since AAPL has yet to test the 50 EMA on the daily. This stop also happens to also be at an old and newly forming support.
For this FIB I took it at open of the two bullish candles at the trend reversal, up to the open of two bearish candles at the latest consolidation and the 1.618 target FIB exactly at a 3:1 Reward:Risk ratio and at a confirmed resistance.
If you have doubt about this trade remember AAPL is the greatest consumer tech company in the world and trades at 110 per share... Chipotle sells burritos and traded at 700?
Trade closed: stop reached
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Not sure why apple has been so bearish but apple didn't even try to bounce of the 20 EMA (accidentally wrote 50 EMA in the initial post).
I will stay out of apple until after earnings and play the gap