fbpx
QQQ
+ 0.42
341.20
+ 0.12%
DIA
+ 0.72
339.73
+ 0.21%
SPY
+ 0.87
415.03
+ 0.21%
TLT
-1.13
141.48
-0.81%
GLD
+ 1.12
164.23
+ 0.68%

Apple Chart Approaching $90 Technical Line In The Sand

by
May 6, 2016 1:05 pm
Share to Linkedin Share to Twitter Share to Facebook Share to Print License More

There’s no doubt about it: Apple Inc. (NASDAQ: AAPL)’s technical picture has been pretty bearish in the past couple of months. However, the stock is now in danger of things getting a lot worse.

Benzinga first reported about a bearish technical signal in Apple’s carts on April 29 of last year, immediately after the stock hit all-time highs of $131.29. In just over a year since that story, Apple’s shares have fallen nearly 30 percent. 

The stocks post-earnings sell-off now has it once again testing its 2015 flash crash lows of around $90. Apple has repeatedly found technical support I this region in the past couple of years, including during the early 2016 market sell-off. A breakdown below $90 would be a significantly bearish signal for Apple traders.

 

Related Link: Did Apple Steal This Artist's Music?

In the longer-term, however, Apple bulls remain optimistic that Apple simply got overheated and is repeating the roughly 40 percent pull-back it experienced in 2012-2013. If that’s the case, the stock could dip as low as $77 before resuming its uptrend.

Any way you dice it, a dip below $90 would be very bad news for Apple’s technical picture in the near-term. The $77 level represents at least another 16 percent downside for the stock from its current price.


Disclosure: the author holds no position in the stocks mentioned.


Related Articles

3 FAANG Stock Laggards Look For A Return To Highs

Amazon.com Inc (NASDAQ: AMZN), Apple Inc (NASDAQ: AAPL) and Netflix Inc (NASDAQ: NFLX) have been lagging their FAANG counterparts. read more

What Do The Charts Say Is Coming Next For Apple, Nokia?

Apple Inc. (NASDAQ: AAPL) and Nokia Oyj (NYSE: NOK) are both trading within channels. Apple is trading in what's considered a bullish channel while Nokia is trading in a sideways channel. read more

3 Bullish Tech Stocks For Technical Traders Going Into The Week

The SPDR S&P 500 ETF Trust (NYSE: SPY) closed at an all-time high of $400.64 Friday following a seven-week-long tech rout. With the ramp-up to earnings season starting, the following three tech stocks could be headed for a bullish week. read more

Apple Stock Trades Higher Alongside Dow Jones: Technical Levels To Watch

Apple Inc. (NASDAQ: AAPL) stock was trading in sync with the Dow Jones Industrial Average on Thursday. read more