Technical Update - Apple rebound seems to be over. Downtrend could soon resume
Kim Cramer Larsson
Technical Analyst, Saxo Bank Group
Apple has formed a rising wedge like pattern and got rejected at resistance at 151.75. Heavy selling hit the stock and Apple could break bearish out the wedge indicating reversal of the uptrend.
If that scenario unfolds the support at 142.12 could be crucial. If Apple closes below down trend has confirmed and Apple could test June lows around 129.
For Apple to reverse this likely bearish scenario it needs to close above 151.75 for a move to around the 200 SMA.
On the weekly chart RSI is showing divergence (RSI values are rising whereas the price is making a new low) However, with the rejection at 151 sellers could regain control. If Apple closes this week below 145145.67 it has formed a Bearish Engulfing candle indicating a reversal of the short term rebound.
Latest Market Insights
Quarterly Outlook Q3 2022: The Runaway Train
- Central banks' attempts to kill inflation is a paradigm shift, which could end in a deep recession.
Tangible assets and profitable growth are the winnersWith US equities officially in a bear market, the big question is where and when is the bottom in the current drawdown?
Understanding the lack of investment appetite among oil majorsThe everything rally seen in recent quarters has become more uneven, as its strength is driven by commodities in short supply.
The pressure is on as the wind leaves the sailsWith cryptocurrencies in sharp decline, are we entering a crypto winter or is the bear market a healthy clean-up of the crypto space?
Why the Fed can never catch up and what turns the US dollar lower?Many other central banks are set to eventually outpace the Fed in hiking rates, taking their real interest rates to levels higher than the Fed will achieve.
Bank of Japan: Swimming against the tideThe Japanese economy has gone from the age of deflation to rapidly rising prices in no time, leaving the Bank of Japan in a pickle.
Green transformation detour and bear market hibernationWith the impending risk of global econonomic derailment, we share the five things investors need to consider in this new half year.
Crisis redux for the eurozone?Whether there's going to be a recession in Europe or not, the path towards a stable economy will be agonizing.
Technical Outlook: Gold, Oil and a remarkable multi-decade perspective on EquitiesThe Nasdaq bubble pattern, USDJPY resistance, crude oil uptrend losing steam and the technical outlook for USD.
China: the train of new development paradigm left the station two years agoChina is transiting to a new development paradigm, as they are hit by deteriorating terms of trade, a slower global economy and an uncertain future while continuing attempts to contain the pandemic.
Please read our disclaimers:
- Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
- Full disclaimer (https://www.home.saxo/en-gb/legal/disclaimer/saxo-disclaimer)