Apisorn
Shares of Apple (NASDAQ:AAPL) are under pressure Wednesday morning and look set to open below recent support, according to Saxo Bank.
The stock has been in a trading channel with support at $148.37. That “support is weak however and reports this morning that Apple will cut iPhone production due to slowing demand has given sellers new energy,” technical analyst Kim Cramer Larsson wrote in note.
“A close today below that level will confirm down trend and selling pressure is likely to accelerate the next couple of weeks,” Larsson said. “Especially if the share price closes below the lower falling trend line in the channel.”
“A selling pressure that can push Apple below support 140. However, if more bad news is coming out when we enter earnings season Apple could test the June low around 129.”
BTIG technical strategist Jonathan Krinsky said that a break below $150 would make AAPL vulnerable to moving back to $135 to $140.
He noted that AAPL and Tesla (NASDAQ:TSLA) are the only two in the top eight Nasdaq 100 (NDX) weighted names that are still higher over the last 12 months.
TSLA is “back under its 200 DMA, but needs to really break 282 to violate the uptrend off the June lows,” Krinsky said.
