No flame by any means, but AAPL has fallen off versus your resistance point. Granted, it's short term fluctuations, and I am by no means a technical analyst, but how do you feel about the resistance point today?
I am trying to learn more about technical analysis, will always be focused on fundamentals for my investments, but I wanted to hear your thoughts.
No worries man, that doesn't look even remotely like a flame. When a resistance level holds up and it falls like this that means the resistance still holds true. However, the next time that a stock approaches a resistance level there is usually a higher chance that it will break the resistance level and confirm the breakout. Not happy that the resistance level held considering many here had skin in the game for Apple, but having the resistance level hold after I pointed it out did boost me E-ego.
Benny saw this on seeking alpha today can you please explain since you're the technicals guy ........."AAPL is forming a reverse head & shoulders right now, RSI broke through resistance in late March, and the upper trend-line on the downtrend was breached in early May. My technicals are telling me AAPL is a buy at $420 with a price target of $515."
I love technicals but my expertise is still more in the fixed income world. But to your question, I'm not sure where they are getting their RSI resistance level but it's a little ways to getting into oversold territory. I also hate putting support/resistances with any oscillators. An inverse head and shoulders can be seen below and I do see the same pattern there but their price targets are off. The buy point is the neckline (straight line) but they are saying the buy point is left shoulder low (first smiley face). Long story short I wouldn't say the technicals are bullish for AAPL right now but you are close to your 419 support level. Past that the next stop is 385 which I doubt it will break, I think AAPL will stay pretty range bound outside of a news game changer. Image: http://www.laidtrades.com/wp-content/uploads/2010/11/Inverted-Head-And-Shoulders-Chart-Pattern-Reversal.jpg