Apple shares primed for pullback before heading higher again

“Last Tuesday, Apple filled an important breakout gap left behind back on Jan. 28. As this key support level at $112.50 came into play, the stock had moved into deeply oversold territory after a 15% decline from the July 20 peak,” Gary Morrow writes for TheStreet. “Apple has rebounded nicely after filling the Jan. 28 earnings-inspired gap and is now entering a very heavy resistance zone.”

“With Monday’s gain, Apple is now up more than 6.5% from last Wednesday’s low of $112.10. This solid bounce has pushed shares back up to the lower band of a heavy resistance area,” Morrow writes. “A pullback is likely ahead, one that may provide investors with another low-risk buying opportunity near the $112.50 area.”

Read more in the full article here.

MacDailyNews Take: Tease leaves (typo and it’s staying).

17 Comments

  1. This kind of market movement “analysis” is exactly the same type of “scientific” foundation for astrology (i.e. determining person’s traits, character, and future life, by analysing the relationship between the positions of stars and other celestial objects). It is a complete nonsense, but sounds completely scientific.

    1. I am really skeptical of technical analysis. However, as there are certainly a lot of trading strategies (both human and computer driven), I think it becomes a self fulfilling prophecy. If the chart says it will drop, systems will sell, making it drop.

  2. September 9th is the big Apple announcement of iPhones and other products. FUD season will commence approximately three weeks in advance. It happens for every Apple event. . . like clockwork. The FUDsters come out of the woodwork and out of the walls like cockroaches and start re-working all of the tried and not-so-true rumors and past-history attacks on Apple leading up to the announcements to drive the stock value down so the traders can buy in, riding the waves of emotional fear and euphoria of FUD season. Sit back, pop some popcorn, trust me, it’s going to start in about a week.

    1. Heck, with some media pushing the idea that the next phone will be called iPhone 7, I can see the post-event headlines hysterically screaming bloody murder if Apple instead follows their traditional convention and calls it the iPhone 6s.

      1. Absolutely. If Apple stays with the “s” designator, there will be many articles claiming that Apple knew that the update was such a tiny step forward that Apple knew better than to call the update “iPhone 7”.

      2. That has certainly happened before, mossman.

        A bunch of people who claim to be worthy of our attention make up all kinds of predictions and then gripe about the ones that Apple does not fulfill, no matter how fantastical.

        In the distant past (late 1990s through around 2006), I enjoyed speculating about new Apple releases (Macs and iPods back then) with fellow Apple enthusiasts. I actually miss the time when Apple was the little guy that repeatedly surprised the world. Now Apple is the big guy who can never fully meet expectations.

  3. What is with all the wailing and whining here? AAPL is going to be just great for those who hold the stock. It has always been a roller coaster ride, but is is a huge gainer. Just hold and buy all you can afford. I try to avoid reading the negative nellies. Just sit back and enjoy the ride. Seat belted of course.

Leave a Reply

Your email address will not be published. Required fields are marked *

This site uses Akismet to reduce spam. Learn how your comment data is processed.