- Apple stock declines for a second straight day on Monday.
- AAPL's drop was less than feared as equities stabilize.
- Friday's jobs report is now the next key data point.
Apple (AAPL) and equities, in general, survived Monday quite well with participants having feared the worst following Friday's rout. The main indices lost less than 1%, and Apple was slightly worse losing 1.37%.
Also read: Apple Stock Deep Dive: AAPL price target at $100 on falling 2023 revenues
Apple stock news
The new iPhone is rumored to be launched on September 7 as Apple has sent out media invitations to an event, according to reports. Bulls hoping for this to lead Apple stock higher though may be in for disappointment as the tech giant does not have a great record of outperformance after iPhone launches. It seems the anticipation of the event is the greater catalyst. "Better to travel than to arrive," according to the old stock market adage. The iPhone launch will be keenly watched anyway and will perhaps overshadow recent headwinds from factory shutdowns in China due to the heatwave. Nikkei Asia reported on Monday to have said Foxconn has restarted its Sichuan factory after the worst heatwave in decades.
Apple stock forecast
The interesting take from yesterday was the new low put in for AAPL stock. This is a negative sign, and the rest of the session was fairly calm.
AAPL 15-minute chart
As we can see overall from the daily chart, the summer rally here was huge with gains of over 30%. Apple crested the top trend line, but the breakout failed. AAPL stock has once again set a lower low, which continues the bearish trend in place for the year so far.
There is a gap to be filled down to $154, which looks to be taken out this week. Right now, Apple stock has retraced back down to the 200-day moving average, so expect a bit of a battle here. The overbought signals from the Relative Strength Index (RSI) and the Money Flow Index (MFI) worked perfectly, and now these have retraced back to neutral. This is not a high-probability trade anymore.
I am still short AAPL but I am so from much higher levels, which makes me happy to stick with the position for now. The easy part of the trade is done, and from there it needs to be closely watched. I expect a bounce on Tuesday and possibly into Wednesday as Monday's sell-off did not materialize. Friday will be the next key data point. Closing above $164 is likely a reversal signal, but with such a key report on Friday, I will try to hold out until then.
Apple 1-day chart
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD stabilizes near 1.0400, volumes remain light on New Year's Eve
EUR/USD stabilizes at around 1.0400 on Tuesday following Monday's choppy action. The cautious market stance helps the US Dollar stay resilient against its rivals and doesn't allow the pair to gain traction as trading conditions remain thin heading into the end of the year.
GBP/USD retreats below 1.2550 after short-lasting recovery attempt
GBP/USD loses its traction and retreats below 1.2550 after climbing above 1.2600 on Monday. Although falling US Treasury bond yields weighed on the USD at the beginning of the week, the risk-averse market atmosphere supported the currency, capping the pair's upside.
Gold rebounds after finding support near $2,600
After posting losses for two consecutive days, Gold found support near $2,600 and staged a rebound early Tuesday. As investors refrain from taking large positions ahead of the New Year Day holiday, XAU/USD clings to daily gains at around $2,620.
These three narratives could fuel crypto in 2025, experts say
Crypto market experienced higher adoption and inflow of institutional capital in 2024. Experts predict the trends to look forward to in 2025, as the market matures and the Bitcoin bull run continues.
Three Fundamentals: Year-end flows, Jobless Claims and ISM Manufacturing PMI stand out Premium
Money managers may adjust their portfolios ahead of the year-end. Weekly US Jobless Claims serve as the first meaningful release in 2025. The ISM Manufacturing PMI provides an initial indication ahead of Nonfarm Payrolls.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.