Time to short Apple
Apple Stock Analysis - March 7, 2024
Closing Price: $169.00
Daily Chart Insights:
The daily chart reveals that Apple’s stock price is nearing the dynamic support line. At $169.00, it’s hovering close to this critical level.
However, there’s a cautionary signal: the appearance of a yellow cross, indicating strong downward momentum. This suggests that Apple might decline significantly, potentially going below $166.55 before any meaningful pullback.
If the price indeed falls below $166.55 and the yellow cross persists, the previously supportive level could now act as resistance, potentially driving the price even lower.
Weekly Chart Observations:
On the weekly chart, Apple still has room to fall. The downtrend appears to be intact.
Selling volume remains high, indicating sustained bearish sentiment.
Potential for Further Decline:
Considering recent news and technical signals, there’s a possibility that Apple’s stock could drop all the way down to $152. Here are some factors supporting this claim:
Barclays Analyst Downgrade:
Barclays analysts recently cut their rating for Apple due to concerns about weak iPhone sales. This downgrade has raised questions about whether Apple’s shares can sustain their record surge. As a result, the stock dipped by 3%.
Slippery Start in 2024:
At the beginning of the year, Apple faced a slippery start. It was downgraded to “underweight” by Barclays, with an adjusted price target of $160—a 17% decline from the previous closing price of $192.53.
Supply Chain Concerns:
Investors were spooked by new supply chain concerns. A key supplier suspended some of its manufacturing operations in China, leading to a 2.7% drop in Apple’s stock price.
Ming-Chi Kuo’s Report:
Analyst Ming-Chi Kuo released a report indicating that iPhone shipments could decline by as much as 15% year over year. This news further adds to the bearish sentiment surrounding Apple’s stock.
Given these factors, it’s plausible that Apple’s stock could indeed fall below the current levels.
Closing Price: $169.00
Daily Chart Insights:
The daily chart reveals that Apple’s stock price is nearing the dynamic support line. At $169.00, it’s hovering close to this critical level.
However, there’s a cautionary signal: the appearance of a yellow cross, indicating strong downward momentum. This suggests that Apple might decline significantly, potentially going below $166.55 before any meaningful pullback.
If the price indeed falls below $166.55 and the yellow cross persists, the previously supportive level could now act as resistance, potentially driving the price even lower.
Weekly Chart Observations:
On the weekly chart, Apple still has room to fall. The downtrend appears to be intact.
Selling volume remains high, indicating sustained bearish sentiment.
Potential for Further Decline:
Considering recent news and technical signals, there’s a possibility that Apple’s stock could drop all the way down to $152. Here are some factors supporting this claim:
Barclays Analyst Downgrade:
Barclays analysts recently cut their rating for Apple due to concerns about weak iPhone sales. This downgrade has raised questions about whether Apple’s shares can sustain their record surge. As a result, the stock dipped by 3%.
Slippery Start in 2024:
At the beginning of the year, Apple faced a slippery start. It was downgraded to “underweight” by Barclays, with an adjusted price target of $160—a 17% decline from the previous closing price of $192.53.
Supply Chain Concerns:
Investors were spooked by new supply chain concerns. A key supplier suspended some of its manufacturing operations in China, leading to a 2.7% drop in Apple’s stock price.
Ming-Chi Kuo’s Report:
Analyst Ming-Chi Kuo released a report indicating that iPhone shipments could decline by as much as 15% year over year. This news further adds to the bearish sentiment surrounding Apple’s stock.
Given these factors, it’s plausible that Apple’s stock could indeed fall below the current levels.
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