Apple shares technical analysis

As shown on the daily chart of AAPL, the price has been rising within a clear bullish leg for the past three weeks after turning back to the upside from major support around 385. This support level was last hit in April, when AAPL made a 16-month low right at 385 before bouncing. Since then, the price retested that low three weeks ago in late June when it dipped back down to 388 before making its most recent recovery.

While the price has essentially been entrenched within a trading range consolidation for the past five months, the overall trend since the September 2012 highs around 705 has been markedly bearish. May’s high around 465 was a 38.2% retracement of the last major bearish run between the December 2012 high around 595 down to the noted April 385 low. If the price is able to stay below that strong 465 resistance area, AAPL could see a further downside trend continuation, which would be contingent upon a breakdown below the key 385 support level. In that event, key bearish support targets on this potential trend continuation reside around 355 and then 310.

While the price has essentially been entrenched within a trading range consolidation for the past five months, the overall trend since the September 2012 highs around 705 has been markedly bearish. May’s high around 465 was a 38.2% retracement of the last major bearish run between the December 2012 high around 595 down to the noted April 385 low. If the price is able to stay below that strong 465 resistance area, AAPL could see a further downside trend continuation, which would be contingent upon a breakdown below the key 385 support level. In that event, key bearish support targets on this potential trend continuation reside around 355 and then 310.