AAPL at a Critical Level! Key Trade Setups for This Week Analysis:
AAPL is showing significant weakness after a clear rejection near the $260-$265 resistance zone, forming a downward trajectory. It has broken below key support levels, now testing the $228-$230 range. The steep drop suggests bearish momentum is strong, as confirmed by the MACD crossing below zero and Stochastic RSI hovering in the oversold territory. Volume has also spiked, indicating potential capitulation in the short term.
Key Levels to Watch:
* Resistance Levels:
* $240: Psychological resistance, aligned with a call wall.
* $244-$245: Major GEX resistance with limited upside if reached.
* $260-$265: Strong overhead resistance zone.
* Support Levels:
* $227-$228: Current key support where PUT walls provide temporary stabilization.
* $220: Next critical support, aligning with strong GEX negative levels.
GEX Insights:
* Gamma Exposure (GEX):
* Negative GEX levels dominate, indicating market makers are positioned for higher volatility.
* PUT support: Strong at $227-$225, but breaching this level could accelerate selling.
* Options Activity:
* IVR: Elevated at 53.3, signaling high implied volatility.
* Call-to-Put Ratio: Puts dominate, with bearish bets intensifying near $227-$230.
Trade Scenarios:
Bullish Scenario:
* Entry: Break above $232.50 with volume confirmation.
* Target: $240 (first target), $244 (extended target).
* Stop-Loss: Below $228.
Bearish Scenario:
* Entry: Break below $227 with increasing selling pressure.
* Target: $220 (first target), $213 (extended target).
* Stop-Loss: Above $232.
Directional Bias:
Bearish bias dominates, with a high likelihood of testing lower levels unless $227 holds firm. The broader structure points to a continuation of the downtrend, particularly if overall market sentiment remains weak.
Actionable Suggestions:
* For Scalpers: Focus on shorting rallies into resistance at $232-$235.
* For Swing Traders: Monitor the $220-$227 zone for potential breakdown or bounce opportunities.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always do your own research and manage your risk before trading.
