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Apple shares remain in the spotlight after hitting a new record high for the first time this year on Monday following signs of a strong start to iPhone 17 sales.
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After breaking below a pennant earlier this month, the stock made a swift reversal to close above the pattern on Monday, creating a potential bear trap scenario.
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Bars pattern analysis forecasts a potential upside target around $308 and indicates the move may last until late November or early December. Investors should also watch key support levels on Apple’s chart near $250 and $237.
Apple (AAPL) shares remain in the spotlight after hitting a new record high for the first time this year on Monday following signs of a strong start to iPhone 17 sales.
The tech giant’s recently released iPhone 17 series outsold its prior lineup in the U.S. and China during its first 10 days of availability, according to a report from Counterpoint Research. The base model performed particularly well in China, while many American buyers upgraded to the Pro Max version, according to the research.
Apple shares have rallied 30% from their August low and are up nearly 5% year to date (YTD). However, they trail the returns of all Magnificent Seven members except Amazon (AMZN) since the start of the year amid concerns that the iPhone maker has fallen behind its big tech peers in the AI race. The stock was down slightly at around $262 in recent premarket trading Tuesday.
Below, we break down the technicals on Apple’s chart and identify critical price levels worth watching out for after the stock’s record high close.
After breaking below a pennant earlier this month, Apple shares made a swift reversal to close above the pattern on Monday, creating a potential bear trap scenario. Such a trading event “traps” investors who initiated short positions and subsequently generates losses as the price turns higher.
Meanwhile, the relative strength index confirms bullish momentum, though the indicator remains below its prior peaks, indicating the stock has further room to move into price discovery mode before consolidating.
In another win for the bulls, the 50-day moving average (MA) crossed above the 200-day MA last month to generate a bullish golden cross.
Let’s apply technical analysis to forecast how a new trend higher in Apple shares may play out and also identify support levels worth watching.
Investors can forecast how a new trend higher in Apple share might unfold by using bars pattern analysis, a technique that analyzes prior price movements to project future trends.
