Apple Inc. : Potential Harmonic; Bearish Consolidation
Updated
AAPL has been on the rise ever since it broke above the descending Bullish Dragon Trend Line and confirmed the middle of the Trading Range as support, but as it's risen, both the PPO and RSI have been consolidating tightly within the Overbought Zone which also aligns with the PCZ of a Bearish Deep Gartley on the PPO; just recently, price has hit the HOP level of a Potential Bearish Shark pattern. If we start to see the RSI and PPO come down sharply from the Overbought zones and closer to the 50 levels, then we could confirm a safer Bearish Entry with the stop marginally above the HOP level and target the 0.382 and 0.618 Fibonacci Retraces below.
Note
Nice fast dramatic reaction so far, we're already just about halfway to our target. It might be best to lock in some profit at the $169 level or by the middle of the week especially if you're using mid-term options. Alternatively you could use the profits to roll for something more long term.
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