Apple Inc. (AAPL) - May 30, 2025
Shares of Apple Inc. (AAPL) have come under pressure
recently, in contrast to stronger-performing technology peers. While mega-cap
names such as Broadcom (AVGO), Palantir (PLTR), and ServiceNow (NOW) have moved
higher into the favored zone of the SIA S&P 100 Index Report, Apple has
taken a divergent path, reflecting a declining relative strength (RS) profile
and a weakening technical posture. The stock fell out of the favored zone in
September 2024 and currently ranks at position 67, placing it firmly in the
unfavored zone. Over the past quarter alone, Apple has dropped 27 positions in
the SIA S&P 100 Index Report, confirming technical deterioration across all
SIA Index Reports in which it appears.
Most recently, Apple encountered resistance near $215, a
level that now serves as a key short-term ceiling. The monthly candlestick
chart shows a series of consecutive bearish candles, each reflecting deeper
supply absorption than the last. This steady selling pressure corresponds with
Apple’s recent price performance, which has declined 5.21% over the past month,
17.06% over the past three months, and nearly 20% year-to-date. Once a
cornerstone of the “Magnificent 7,” Apple now appears to be losing technical
momentum.
We now turn to the SIA Point & Figure (P&F) chart,
which provides more specific levels that advisors may want to monitor. Assuming
the current trend continues, the stock may retest support near $194.40, with
additional downside targets at $169.24 and $128.26. The Point & Figure
(P&F) chart supports the bearish outlook, particularly when viewed
alongside the SIA relative strength overlay, which now clearly reflects Apple’s
transition from the green favored zone into the red. This movement has
triggered a bearish relative strength signal.
Currently trading around $200, Apple remains below former
support, which has now turned into resistance. The P&F chart identifies
$214.63 as the next immediate resistance level, with more substantial upside
capped near $261.64, the high from earlier in 2024. At the same time, Apple’s
relative strength score has declined to 3 out of 10 when compared to the five
major asset classes. The stock now ranks in the bottom half of the SIA S&P
100 Index, marking a notable shift from its former position as a market leader.
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