Apple is ready to rip!
Updated
Dear all, there are a few points I want to note from this chart (each candlestick represents 2 days) but the bottom line is that the 250s are in sight for AAPL. From recent price action we've seen a correction that most likely represents the end of a wave 4 preceding a wave 5 that will start very soon. There are a few reasons I think AAPL is bottoming. Studying volume is important to ascertain the validity of movements up or down. From the rightward pointing arrow we see that it took a very high amount of volume to produce a red candlestick that is not abnormally tall, this is a bullish sign b/c it means it took a lot of effort to produce a moderately bearish result in price action- in other words there is buying going on here. Towards the left of the chart you can see another arrow identifying above average volume on a red candlestick and see what happened after- we started the current wave count and moved from the mid 150s up to the mid 230s! Further one can note that the recent candlestick touched the 100 day EMA before bouncing back up and has a long lower wick- another bullish sign!
This does not mean that there cannot be further downside by any means. If you look carefully there is a small rectangle I have highlighted with a price point which represents a gap that may get filled in the mid 190s. Even if the gap is filled we would probably move back up, the only price action that would invalidate this overall set up is a dip below the magenta line representing the end of wave 1 in the low 180s. Again, overall I see the mid 250s hitting easily before all is said and done. I do expect that a bear market will take hold next year, the only question is what quarter. Thanks for reading, please ask any questions you have.
This does not mean that there cannot be further downside by any means. If you look carefully there is a small rectangle I have highlighted with a price point which represents a gap that may get filled in the mid 190s. Even if the gap is filled we would probably move back up, the only price action that would invalidate this overall set up is a dip below the magenta line representing the end of wave 1 in the low 180s. Again, overall I see the mid 250s hitting easily before all is said and done. I do expect that a bear market will take hold next year, the only question is what quarter. Thanks for reading, please ask any questions you have.
Note
Ironically the gap was filled today exactly one day after publishing my post. I did not predict this I just find it ironic. Scaled into my first position of calls.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.