Apple (AAPL) Stock Forecast: Apple watch looks on time for a break of $137 and then record highs
Premium|Take advantage of 50% OFF on your first month.
Start your subscription and get access to all our original articles.
You have reached your limit of 5 free articles for this month.
Get Premium without limits for only $9.99 for the first month
Access all our articles, insights, and analysts.
UNLOCK OFFER- Apple stock is on course to break through resistance at $137.
- AAPL has been trending nicely from low $120's in May.
- Futures point to a positive open for stocks.
Apple shares made further gains on Wednesday in a relatively quiet session as most stocks ended lower. The big tech names ended mostly flat-to-lower but Apple continued to trend higher as it signed for a 0.46% gain, closing at $136.96. The stock has been trending nicely higher for June having found strong support in the low $120s.
Apple posted Q1 results on April 28 which set the recent decline in motion. Those results were over 40% higher than what Wall Street analysts had been expecting and added to the package by announcing it was increasing its dividend and share buy-back program. Despite this, AAPL stock moved steadily lower after results, apart from one intraday spike to $137.07, the level we have been mentioning as our resistance target. Apple's negative reaction to the positive results eventually saw it slide over 10% before bottoming out in the low $120s. This area saw a convergence of strong support factors, the 200-day moving average, and some strong volume from a previous consolidation zone. Once support had been found and the slide arrested, it was time to regroup. Apple has done that impressively.
Apple key statistics
| Market Cap | $2.28 trillion |
| Enterprise Value | $2.1 trillion |
| Price/Earnings (P/E) | 30 |
|
Price/Book |
35 |
| Price/Sales | 8.5 |
| Gross Margin | 40% |
| Net Margin | 23.4% |
| EBITDA | $100 billion |
| Average Wall Street rating and price target | Buy $159 |
Apple stock forecast
Thursday sees equity markets brush aside fears of the new delta variant as futures and European markets all push higher. This should benefit AAPL stock and lead to a break of the $137 resistance. Technically it is $137.07, the post-earnings high. Once above that level volume profile drops off alarmingly. The right of the chart shows just how much it thins out and a lack of volume means a lack of resistance. Volume is weak until record highs at $145.08 and obviously, above there is no resistance. The $150 round number psychological level would be the resistance above record highs.
Apple has been lagging other big tech names who have all been testing record highs in recent sessions with Facebook (FB) joining the trillion-dollar club after a favourable court ruling and GOOGL also close to making more record highs. So if the peer group is surging, then why not AAPL?
The trend is strong and with markets looking positive on Thursday, Apple bulls are targeting a break above $137 and then push on. But risks remain delta-variant concerns and the Nasdaq RSI being in overbought territory. AAPL is also close to its own RSI hitting the overbought zone, so keep an eye on this indicator. The key support remains $131.45, holding the bullish trend in place, this also intersects with the 21-day moving average, heightening its importance.
- Apple stock is on course to break through resistance at $137.
- AAPL has been trending nicely from low $120's in May.
- Futures point to a positive open for stocks.
Apple shares made further gains on Wednesday in a relatively quiet session as most stocks ended lower. The big tech names ended mostly flat-to-lower but Apple continued to trend higher as it signed for a 0.46% gain, closing at $136.96. The stock has been trending nicely higher for June having found strong support in the low $120s.
Apple posted Q1 results on April 28 which set the recent decline in motion. Those results were over 40% higher than what Wall Street analysts had been expecting and added to the package by announcing it was increasing its dividend and share buy-back program. Despite this, AAPL stock moved steadily lower after results, apart from one intraday spike to $137.07, the level we have been mentioning as our resistance target. Apple's negative reaction to the positive results eventually saw it slide over 10% before bottoming out in the low $120s. This area saw a convergence of strong support factors, the 200-day moving average, and some strong volume from a previous consolidation zone. Once support had been found and the slide arrested, it was time to regroup. Apple has done that impressively.
Apple key statistics
| Market Cap | $2.28 trillion |
| Enterprise Value | $2.1 trillion |
| Price/Earnings (P/E) | 30 |
|
Price/Book |
35 |
| Price/Sales | 8.5 |
| Gross Margin | 40% |
| Net Margin | 23.4% |
| EBITDA | $100 billion |
| Average Wall Street rating and price target | Buy $159 |
Apple stock forecast
Thursday sees equity markets brush aside fears of the new delta variant as futures and European markets all push higher. This should benefit AAPL stock and lead to a break of the $137 resistance. Technically it is $137.07, the post-earnings high. Once above that level volume profile drops off alarmingly. The right of the chart shows just how much it thins out and a lack of volume means a lack of resistance. Volume is weak until record highs at $145.08 and obviously, above there is no resistance. The $150 round number psychological level would be the resistance above record highs.
Apple has been lagging other big tech names who have all been testing record highs in recent sessions with Facebook (FB) joining the trillion-dollar club after a favourable court ruling and GOOGL also close to making more record highs. So if the peer group is surging, then why not AAPL?
The trend is strong and with markets looking positive on Thursday, Apple bulls are targeting a break above $137 and then push on. But risks remain delta-variant concerns and the Nasdaq RSI being in overbought territory. AAPL is also close to its own RSI hitting the overbought zone, so keep an eye on this indicator. The key support remains $131.45, holding the bullish trend in place, this also intersects with the 21-day moving average, heightening its importance.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.