Next week's candle is decisive.
Updated
Greetings All,
AAPL printed a bearish weekly candle this week, with declining momentum. We witnessed a similar scenario back on the week of 26 October 2020, where AAPL closed below the 50EMA, but rallied on the following week with a close above the 50EMA. I'm hopeful the pattern will repeat next week. I also appreciate that AAPL is in the bottom of the 40-week channel, which gives us a great entry to go long if you're bullish.
On the daily, although the pattern is neutral (blue) the candle is a bullish harami, which is promising, especially with the RSI and MACD showing similar bullish signals. Longer timeframes show the "big picture," but smaller timeframes give us early indications of things to come. If the pattern truly does repeat, then we should see a small gap-up on opening Monday, with a test of resistance around the 20/50EMA (~$129).
Daily Chart:
Happy Trading!
Disclaimer. My ideas are for informational purposes only. My ideas do not constitute solicitation, recommendation, endorsement, or offer to buy or sell any securities or other financial instruments. You should not construe any such information or other comments as legal, tax, investment, financial, or other advice. There are risks associated with investing in securities. Investing in stocks, bonds, exchange traded funds, mutual funds, options and money market funds involve risk of loss. Loss of principal is possible. Please exercise your own due diligence.
AAPL printed a bearish weekly candle this week, with declining momentum. We witnessed a similar scenario back on the week of 26 October 2020, where AAPL closed below the 50EMA, but rallied on the following week with a close above the 50EMA. I'm hopeful the pattern will repeat next week. I also appreciate that AAPL is in the bottom of the 40-week channel, which gives us a great entry to go long if you're bullish.
On the daily, although the pattern is neutral (blue) the candle is a bullish harami, which is promising, especially with the RSI and MACD showing similar bullish signals. Longer timeframes show the "big picture," but smaller timeframes give us early indications of things to come. If the pattern truly does repeat, then we should see a small gap-up on opening Monday, with a test of resistance around the 20/50EMA (~$129).
Daily Chart:
Happy Trading!
Disclaimer. My ideas are for informational purposes only. My ideas do not constitute solicitation, recommendation, endorsement, or offer to buy or sell any securities or other financial instruments. You should not construe any such information or other comments as legal, tax, investment, financial, or other advice. There are risks associated with investing in securities. Investing in stocks, bonds, exchange traded funds, mutual funds, options and money market funds involve risk of loss. Loss of principal is possible. Please exercise your own due diligence.
Note
I can’t explain this last 10min sell-off near the end, but it INVALIDATED the bullish harami pattern.Note
I'm sure by now, we know that the pattern is bearish. But, here's the chart for confirmation....
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