Apple (AAPL) Stock Price and Forecast: Apple finally breaks out

• Apple stock surges over 3% on Monday to another all-time high.
• Equities are positive after Powell provides proof that buy-the-dip is the only show.
• AAPL breaks $150 and closes at $153.12.

Apple did what it had been threatening to do for some time and breakout sharply. In the process, Apple created yet another all-time high as a powerful 3% move saw the stock price surge to above $153.

It was a busy day for the stock with multiple news catalysts. Globalstar stock (GSAT) was caught up in the Apple rally as a report emerged from Apple Insider that the latest iPhone will have satellite communication capability. "Analyst Ming-Chi Kuo at TF International Securities says Qualcomm X60 chip that AAPL predicted to be using in upcoming iPhone 13 will support low-earth-orbit satellite communications", according to AppleInsider.

Shares in GSAT surged and were up nearly 65% before the market even opened. Bloomberg has since reported this morning that satellite features will be for emergencies. It was also announced midway through Monday's session that Apple had acquired Primephonic, a classical music streaming app, to add to its Apple music offering. Adding to the overall bullishness was another report from AppleInsider: "Apple's iPhone could see nearly double the annual growth rate compared to its Android competitors and outpace the broader smartphone industry in 2021, according to research firm IDC". 

 

Overall plenty of positives and Apple investors certainly thought so as a 3% gain for Apple has not been seen for a while. The stock broke the important $150 level and broke the previous all-time high and is again pushing higher in Tuesday's premarket.

Apple key statistics

Market Cap	$2.53 trillion
Enterprise Value	$2.3 trillion
Price/Earnings (P/E)	29
Price/Book	38
Price/Sales	9
Gross Margin	41%
Net Margin	25%
EBITDA	$112 billion
52 week low	$103.10
52 week high	$151.68
Average Wall Street rating and price target	Buy $165

 

Apple stock forecast

You cannot stand in the way of a train goes the old market saying and Apple stock is certainly starting to gain momentum now that it has broken out of the pennant formation. This was a continuation formation and was looking a little shaky previously but the dovish tone from Fed Chair Powell at the Jackson Hole conference has certainly helped push equities higher. 

Obviously, given we are at an all-time high no real resistance is insight. We can do some Fibonacci projections but this author finds those to be less than accurate in single stocks usually, more suited to commodity and indices. Obviously, $160 will come into play as the next round number, and from there who knows $200 will start to be touted as the new target. 

Support is at the breakout level of $152 and then the 9-day moving average at $149.30. The $144.50 mark is the recent low and volume gets a bit light below so a break will likely accelerate to $137 as volume really thins out below $141.67, the entry of the pennant formation.

The bearish divergences we had been worried about in the Relative Strength Index (RSI) and the Moving Average Convergence Divergence (MACD) have just about been resolved, so bulls are firmly in charge.

 

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