AAPL ShortBroader Market Structure (AAPL 1H):
The overall market structure on this 1-hour chart has shifted from a consolidation phase into a clear bearish trend. A Change of Character (CHoCH) occurred at $224.88, marking the breakdown of a key higher low and signaling the end of the previous bullish phase. This was followed by a Break of Structure (BOS) at lower levels, confirming bearish continuation. The structure now favors lower highs and lower lows, indicating a bearish directional bias.
Supply and Demand Analysis:
The supply zone near $224–228 is strong, as price dropped sharply from this area after a brief consolidation, showing aggressive selling and validating it as a significant resistance. Buyers previously stepped in around $194–196, creating a well-respected demand zone; price rallied with conviction from this level in the past, making it a strong base where buyers are likely to be active again.
Price Action Within Marked Region:
Price recently exited the upper consolidation range and is now moving impulsively lower toward the marked demand zone around $194–196. The rejection from supply was swift, and candles within the marked area show sustained bearish momentum with minimal bullish interruption. There is a clear lack of buying interest mid-structure, implying that price may continue descending into the demand zone.
Current Trade Bias & Outlook:
The bias remains bearish, with price likely to test the $194–196 demand area. Expect a potential short-term bounce once that zone is tagged. However, if buyers fail to hold this level, further downside toward $172–174 becomes plausible. An invalidation of this bearish outlook would occur if price reclaims and holds above $208, breaking the recent lower high.
Momentum & Candlestick Behavior:
Momentum favors sellers—price is printing strong bearish candles with minimal wicks, indicating conviction. No significant reversal patterns (like bullish engulfing or hammer candles) are visible yet, which supports continuation lower in the short term.
