AAPL Chart Pattern Challenging Ahead of iPhone 5 Unveiling
Be alerted when Mike posts an article
Yes, you see what I see... OMG!! The near-term pattern in Apple Inc. (AAPL) looks like a BIG "M" or double top at 683.10 and 683.29 established during the last two weeks.
The key support plateau preventing the break down from the top is 657.25 to 656.50, which, if violated, will unleash downside potential that projects a minimum target of around 640, and an optimal target in the vicinity of 630.
Of course, as AAPL approaches its highly anticipated news conference to unveil its new iPhone 5 product, the stock is "trading heavy" just above critical support.
Purely from a technical perspective, only a climb that hurdles and sustains above 670 will neutralize the double-top formation, while climb above 683.30 will invert the pattern altogether, and will project upside potential towards 700-710 thereafter.
For the time being, ahead of the product unveiling, it is the bulls that must show their muscle just above 657-656.