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Apple Held Its June Value Level And Its Approaching Its Semiannual Risky Level


beat earnings estimates in nine of the last ten quarters. It traded as high as $182.88 on January 3, 2022, then traded as low as $129.04 on June 16. The value level for June was $130.40 so this weakness was a major buying opportunity. On Friday, Apple gapped above its 20-day simple moving average, which puts the focus on the semiannual risky level at $169.65.

The weekly chart has been positive since the week of July 8. The quarterly risky level is above the charts at $192.07.

Apple has a p/e ratio of 26.82% and a dividend yield of 0.57%, according to Macrotrends.

The Daily Chart for Apple

Shares of Apple has been above a golden cross more than a year ago. This has the 50-day simple moving average moved above the 200-day simple moving average way back on May13, 2019 when the stock was trading at $48.12 per share.

After setting its all-time intraday high of $182.88 on January 3, the 50-day SMA fell below the 200-day SMA on June 3, 2022. The test of its June value level at $130.40 is clearly shown on the chart.

Apple is now back above its 200-day SMA at $159.04. This gap above over the last two days is positive and thus a gap back below it would be a warning.

The annual pivot is $141.26 which is the lower of the two long horizontal lines in the chart. The upper horizontal line is the semiannual risky level at $169.65.

The Weekly Chart for Apple

The weekly chart for Apple is positive with the stock above its five-week modified moving average at $152.58. It is well above its 200-week simple moving average or “reversion to the mean” at $102.80. The 12x3x3 weekly slow stochastic reading is rising at 61.59. This reading was oversold as July 2022 began. Stochastics scale between 00.00 and 100.00 with a reading above 80.00 overbought and a reading below 20.00 oversold.

Trading Strategy: Buy Apple on weakness to its annual value level at $141.26. Reduce holdings on strength to its semiannual risky level at $169.655.