Buy Apple now? Don't catch a falling knife
- Apple shares are continuing to slump
- Technical indicators suggest a move to around $100-105
- Bears could even test of the $100 level
There was a warning sign a couple of weeks ago with a bearish engulfing candle followed by a major gap down. Unfortunately I was on holiday so didn't see it.
There is no divergence on RSI and MACD, and Bollinger bands® are expanding on both daily and weekly indication that we are in the developing stage of the move.
A move to take Apple down to around the $104-105 level – which was the consolidation area back in January and is the 38.2 retracement of the bull move since 2013 – is very likely.