Re buying apple stock at the price of 175 seems logical as all signs point to the contrary.

Technically, evaluating the daily chart, we see that Apple is in a bullish trend, continuing to form higher highs and higher lows. With this structure forming, market is in a no man’s land currently. It needs to tap the resistance turn support level at the price of 175 At this support, we will wait for the price action before taking any further action.

There is only one descending trendline formed, which was breached earlier. The validation of the breakout buys with the trendline was confirmed after the candles opened and closed above the trendline. After the breakout, we do not enter abruptly. We wait for the market to retrace.

The Fibonacci retracement factor still persists and aligns with the support level we have drawn at the price point of 168. The retracement area of 31.8% is the area we are looking to go long at. This region is overlapped with the support level, hence making a it a strong foot hold for the market to shoot up.

Both the EMA’s are in a bullish trend, with a bullish death cross. The market broke the EMA 50 earlier. EMA 200 still stands below the price action. At the support level, we might see a confluence of the EMA 200 retest, along with the support level and retracement. The EMA 50 is being retested at the support level. This gives us an added confirmation for the market to move up and continue.

With the oscillators, RSI and CCI, both are in a bullish region; 62 and 100 respectively. This bullish momentum needs to tame down, for the market to come at the support level. Once market taps the support level, we anticipate market to tap neutralized levels for the oscillators.

Apple regaining traction

Apr 05 2022

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