Hello traders and investors! Let’s analyze Apple today!
First, it hit our target at $ 125.39, as we discussed in my last analysis (Dec. 1, the link to it is below, as usual), and now it is retesting the support level at $ 121.98., which is the most important support level for Apple in the short/mid-term.
Apple must react and defeat the blue line in order to engage a new bull trend, but as long as it keeps trapped between the resistance at $ 125 and support at $ 121, we can’t expect much.
If AAPL loses the purple line, we could see a sharper pullback. Let’s see the daily chart:
The volume is lower than the average these days, and this tells me that this boring movement is just a correction, not a real sell-off.
We have no clear reversal signs here, but if Apple loses the purple line, the next target would be the 21 ema. Below this level, only the black line at $ 112.59 would support the price, but it is too soon to say if it’ll actually hit there. I think the 21 ema is a more reasonable target for the short-term.
But this doesn’t mean Apple is going to reverse its bull trend. It would be just a pullback, and usually this means opportunity. When Apple defeats the blue line, it’ll officially resume the bull trend. We just can’t possibly know when this will happen.
This is my view for the short/mid-term, and if you liked it, remember to follow me to keep in touch with my daily analyses! And support this idea if you found it interesting!
Nathan, I have different view, it should fill it's last gap within 120$ so it should for better or worse should retest low of 118-121 within next 3 days. Once it filled that gap, I think santa rally should take this back to 135$ & above. But if it goes lower than 118$ then as you are saying it will retest 112/110 $. I like your analysis, hence will always appreciate your view on this.
Nathan_Black
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@vishalniit, Thanks for sharing, man! You are great!
sumircanada
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agreed
ImpulsivityIsDestructive
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So it could either go up, or it could go down. Profound. No one knows where this, or any stock will go. I am learning to treat every stock with skepticism and caution, because analysts get it wrong every single day.
milty-friedman-3
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@ImpulsivityIsDestructive, the trend lines and support/resistance levels are more than just guesses. Price is telling a story. Time will let you know how it ends. knowing 100% is not the point nor is it possible, but know how to be right 75% of the time is the difference between a trader and a gambler. The market IS predictable because people are predictable. The market is not a magic mystery. The numbers are intertwined with psychology of the market.
Nathan_Black
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@ImpulsivityIsDestructive, Nope! It can go down, up or sideways! It’s more “profound” than you think. And not only analysts, but everyone gets wrong every single day. What’s going to make the difference is your trading approach.
@Piperchap, Well, not right now, but maybe I'll do it soon!
Thanks for the support, Piper!
sipiceanu
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Hi, I'm curious to understand how you derived the value for the purple line? Thanks.
Nathan_Black
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@sipiceanu, It was a previous resistance, and according to the Principle of Polarity it'll work as a support level in the future. It is important to keep these key points in mind to set our targets and strategies.