Apple’s long awaited product announcement will be made today.
We all know that Apple stock does not go up on announcement day. In fact, the move to the highs last week, stretched above channel trend lines and failed. So the sellers were in early.
So assuming the price does go down, and assuming the product launch (whatever it is) will set up Apple for a great Christmas sale season, where are the levels of support to buy?
Looking at the daily chart, the 50 day MA is first support at 97.23. With the price at 100.00 currently, that is probably too close (assuming a sell off).
The next target is the 96.00 level which corresponds with bottom trend line connecting recent lows. Too close? Better but too close.
Below that the 100 day MA at 92.26 and the 38.2% retracement at 91.045 are the next major targets off the daily chart. If the price goes there, it would represent a decline of 11.06% and 12.23% respectively. Is that right? I think that would be too much (unless they don’t announce a bigger screen). So look for support somewhere below 96.00 but above 92.26.
Apple support levels (because we know the price does not go up on announcement day)
