Asset Watch
Thursday June 13, 2024
But though the hype is palpable, should you be a buyer or seller at these levels?
The best way to play it is to monitor the $200 range. Apple’s July and December 2023 highs were in this area and the 11 Jun. surge would represent a breakout if it holds. If $200 becomes support, that could be your cue that the bulls are in firm control.
On the other hand, a breakdown below $200 may elicit a pullback to the 50-week moving average near $183. The key area acted as support in October 2023 and January 2024 before a breakdown occurred in February 2024 – also an important medium-term trend indicator.
Though Apple made a new high on 11 Jun., its weekly RSI made a lower high (the blue line at the bottom). The bearish divergence signals waning momentum, but the metric can be hit and miss. As such, holding above $200 is the most important factor for the bulls right now.
So, will Apple’s momentum continue in the weeks ahead, or should you wait for a correction before making your move?