Rotten Apple?
Through the years many have claimed that AAPL has morphed somewhat into a consumer discretionary company. As far as I know, they are not included in any ETFs in that sector, but I could be wrong. Regardless it still has a big impact on markets, as it is the largest company on the planet. Below we take a look at the WEEKLY chart, and we can see it is on its first 5-week losing streak since late 2018. This one was much more shallow compared to that previous streak, with the combined damage less than 9%. That being said it feels like it is holding onto the perilous ground. On its daily chart, it is holding onto its 200 day SMA, but volume trends are soft. Since the beginning of March, it has touched that 200 day FIVE times, and it is up for debate that the theory of a line being support is strengthened the more times it comes into contact with it. My belief is that it becomes weaker. But PRICE will always be viewed as correct, and a break below the 200 day, IF it were to occur, would see a quick move lower with the multitude of stops that will likely be taken out. I believe that would offer a long opportunity, but I would not act on that until the 108ish area. In other words, there are much better fish to fry.