Time For Apple To Bounce?! 🍎🍏Apple NASDAQ:AAPL has continued its sell-off since a new ATH at $145 lvl with almost -6% over the last three days. Even with SPY hitting ATH’s Apple was still selling. I like the 128-132 area in Apple for a bounce/consolidation zone. I entered apple yesterday with shares and 3/19 132.5 calls. Apple also has a rising wedge pattern on the Daily chart which will also be serving as support on the $128 lvl. Apple showed strong bounce off of the $127 lvls yesterday hitting a low of $127.41 but closing up at $129.71. We see a nice candlestick with a long lower shadow and good volume to end the day green (96M). Let’s see if AAPL can continue to hold support at $128 and bounce off the rising wedge trend line.
*SPY has been in a small downtrend the past 3 days and market has just been in a chop/sell zone. If SPY rallies today I think apple can start to bounce nicely. If the market enters chop/selling again I want apple to hold $128.
PT: I want to see apple above $132 by March 5th. If that is not the case I will close my calls. I will also be looking to scale out of the calls as price moves (25%, 50%, etc.). Shares I will hold on Apple.
SL: If apple breaks below $128 support area I will sell the calls.
Keep an eye on SPY AMEX:SPY here. GL all!
