Reversal Zone Explanation
* AAPL has recently bounced off a demand zone around $230-$232, aligning with the highest negative NETGEX/PUT Support.
* If buyers sustain momentum above $236-$240, we could see a push towards resistance levels near $245-$250.
* On the downside, a break below $230 could trigger further declines toward $225-$220, where the next major support lies.
My Thoughts
* The stock has shown early signs of a short-term reversal after forming a Break of Structure (BOS).
* The MACD is turning bullish with a potential crossover, supporting further upside.
* Stochastic RSI is climbing from oversold conditions, indicating momentum could continue higher.
Suggested Trade
Bullish Case
* Entry: $236-$238 (on confirmation of strength)
* Target 1: $245
* Target 2: $250
* Stop-loss: Below $230
Bearish Case (if rejected at $240-$245)
* Entry: $240-$242
* Target 1: $232
* Target 2: $225
* Stop-loss: Above $246
Options Recommendation
* Call Option (Bullish Setup)
* Strike: $240
* Expiration: March 15
* Type: ITM/ATM Call
* Rationale: Strong bounce from support and bullish momentum confirmation.
* Put Option (Bearish Setup)
* Strike: $230
* Expiration: March 15
* Type: ITM/ATM Put
* Rationale: If price fails to hold above $240 and breaks below $230, puts could gain value.
Disclaimer
This analysis is for educational purposes only and does not constitute financial advice. Trading stocks and options involves risk, and you should conduct your own research before making any investment decisions.
* AAPL has recently bounced off a demand zone around $230-$232, aligning with the highest negative NETGEX/PUT Support.
* If buyers sustain momentum above $236-$240, we could see a push towards resistance levels near $245-$250.
* On the downside, a break below $230 could trigger further declines toward $225-$220, where the next major support lies.
My Thoughts
* The stock has shown early signs of a short-term reversal after forming a Break of Structure (BOS).
* The MACD is turning bullish with a potential crossover, supporting further upside.
* Stochastic RSI is climbing from oversold conditions, indicating momentum could continue higher.
Suggested Trade
Bullish Case
* Entry: $236-$238 (on confirmation of strength)
* Target 1: $245
* Target 2: $250
* Stop-loss: Below $230
Bearish Case (if rejected at $240-$245)
* Entry: $240-$242
* Target 1: $232
* Target 2: $225
* Stop-loss: Above $246
Options Recommendation
* Call Option (Bullish Setup)
* Strike: $240
* Expiration: March 15
* Type: ITM/ATM Call
* Rationale: Strong bounce from support and bullish momentum confirmation.
* Put Option (Bearish Setup)
* Strike: $230
* Expiration: March 15
* Type: ITM/ATM Put
* Rationale: If price fails to hold above $240 and breaks below $230, puts could gain value.
Disclaimer
This analysis is for educational purposes only and does not constitute financial advice. Trading stocks and options involves risk, and you should conduct your own research before making any investment decisions.
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.
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.