Apple Reversing To The Upside
The APPLE Inc. (NASDAQ:APPL) on the 4-Hour Chart has been following a downward path since 7 September 2021, having found resistance at $157.25.
Apple has reached its bottom at $138.27 on 4 October 2021, and the attractive price encouraged investors who entered the market with long positions and as a result they pushed Apple to higher levels, followed by a pattern of Inverse Head and Shoulders after unsuccessfully attempts to record new lows.
Subsequently, the price breached above the Neckline of the pattern, due to high concentration of demand over softer supply, which already triggered a reversal to the upside.
Technical Analysis
Upon applying Technical analysis on the price chart, one can see that MACD Oscillator registers values above zero-line.
Besides, the price is also trading above the 50-period Simple Moving Average line, which confirm the bullish bias in the market.
After a series of net gains, the Stochastic Oscillator entered the overbought zone, which alerts a potential recovery to the downside of the stock.
For that scenario, it might just be a short-term correction as the long-term sentiment remains bullish.
Targets
Applying the Fibonacci Retracement tool to the price chart, three price targets may be calculated
- The first price target is estimated at $148.26 (161.8%).
- The second price target is seen at $153.86 (261.8%).
- The third price target is projected at $162.92 (423.6%).
At the time of writing, the first price target has been breached.
Of course, it remains to be seen whether the crowd psychology as well as the bulls’ pressure will manage to maintain the control of the market and push Apple higher.
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