Don't be fooled by a dead-cat bounce. More downside possible.APPL got a nice dead-cat bounce off of a prior support zone we saw it hold back in September of 2017, and in February of 2018, and it was fairly close to the 200 weekly moving average. However, we also saw come clear bearish divergence form over the last few months/week (shown by the light-blue lines on the price action and on the RSI); as for the price made an eventual higher-high, but the RSI made a lower-high, indicating the trend (upwards at the time) was weakening, and we saw the price drop dramatically there after. I still think a lot of these stocks are over-valued, and have plenty of room to fall. Ignore the noise from the main stream media and the big-time investment firms that tell you these prices are "deals, steals, bargains, good buys" and whatever other phrases they enjoy throwing at you in a bid to get you to buy something. I will change my stance if we get above (and hold as new support) several key moving averages. If we cannot, then I'm watching for a break below the 200 weekly moving average, and a break below the support zone around 130-135. Overall, I continue to remain bearish.
Moving average guide (All in the weekly time-frame for this chart):
10 MA in Orange
20 MA in Pink
50 MA in Green
100 MA in Yellow
200 MA in Red
-This is not financial advice. Always do your own research and own due-diligence before investing and trading, as for investing and trading comes with high amounts of risk.
