Apple stock tests key resistance after bounce from support

Apple Inc (AAPL), the tech giant behind the iPhone and a sprawling ecosystem of devices and services, has endured a volatile few weeks. This has brought the stock to a technical crossroads. Following a steep decline from December highs near $290, the stock has carved out a defined trading range that's now putting traders on high alert.

The chart tells a story of a swift unraveling followed by stabilization. After peaking around $290 in early December, AAPL shed roughly 16% of its value in a matter of weeks, ultimately finding buyers at the $244 support level. That's not just any floor—it's a zone that's proven its mettle multiple times over recent months, acting as a reliable safety net when selling pressure intensified.

What happened next deserves extra attention. Rather than crumbling through support, Apple staged a respectable bounce, climbing back toward the $258-$262 resistance zone where it's currently trading around $258.70 in premarket action. This resistance area has its own history of capping rallies, creating a well-defined range that's become the stock's temporary home.

So what does this mean for those watching AAPL? We're essentially seeing a standoff between buyers defending support and sellers guarding resistance. For bullish traders, a sustained break above $262 with conviction, ideally on increased volume, would signal that buyers are regaining control, potentially opening the door toward retesting those December highs. The initial target in that scenario would be the $275-$280 zone.

On the flip side, if Apple fails to clear this resistance and rolls over, the $244 support comes back into play. A breakdown below that level would be concerning, potentially triggering another leg down toward the $230-$235 area.

The invalidation point is straightforward: bulls need to see AAPL hold above $244, while bears would need to see rejection at resistance followed by weakness. Right now, Apple is testing the upper boundary of its range. How it handles this zone in the coming sessions will likely dictate the near-term direction.