Apple (AAPL) is breaking down within what is now a "big-head" head and shoulders type of formation, as can be seen in the weekly chart, below. We can see that the stock failed on a late-stage breakout attempt back in late July, and has since been able to rally all the way back up to its 40-week (200-day on the daily) moving average. Note that AAPL stalled on light volume right at the line.
This week's breakdown through the 10-week line puts the stock in play as a short-sale using the 10-week line at 114.79 or the 50-day line at 114.43 as a guide for a tight upside stop. Alternatively, if AAPL were able to bounce back up through the 10-week/50-day moving averages, we would look to short it on a rally back up towards the 40-week/200-day moving averages.
This information is provided by MoKa Investors, LLC DBA Virtue of Selfish Investing (VoSI) is issued solely for informational purposes and does not constitute an offer to sell or a solicitation of an offer to buy securities. Information contained herein is based on sources which we believe to be reliable but is not guaranteed by us as being accurate and does not purport to be a complete statement or summary of available data. VoSI reports are intended to alert VoSI members to technical developments in certain securities that may or may not be actionable, only, and are not intended as recommendations. Past performance is not a guarantee, nor is it necessarily indicative, of future results. Opinions expressed herein are statements of our judgment as of the publication date and are subject to change without notice. Entities including but not limited to VoSI, its members, officers, directors, employees, customers, agents, and affiliates may have a position, long or short, in the securities referred to herein, and/or other related securities, and may increase or decrease such position or take a contra position. Additional information is available upon written request. This publication is for clients of Virtue of Selfish Investing. Reproduction without written permission is strictly prohibited and will be prosecuted to the full extent of the law. ©2024 MoKa Investors, LLC DBA Virtue of Selfish Investing. All rights reserved.