Apple Inc. (NASDAQ:AAPL) could soar this year if it introduces media bundling

Apple Inc. (NASDAQ:AAPL) could soar this year if it introduces media bundling

Apple Inc. (NASDAQ:AAPL) could soar this year if it introduces media bundling

Apple has made quite a comeback since it reported better-than-feared earnings, but many investors have little faith that the iPhone-maker can return to a $1 trillion market value with slowing smartphone demand.

Morgan Stanley, however, disagrees.

In fact, the bank said life beyond iPhone could extend this week’s 7 percent relief rally to another 27 percent gain from here this year. A slew of new services launching in 2019, including video streaming and a media bundle will be a big driver for Apple, according to Morgan Stanley’s Katy Huberty.

Apple plans to debut its video streaming service this spring, and Morgan Stanley expects the tech giant to introduce a “media bundle,” which contains video streaming, Apple Music and the Texture news app. Huberty said in a note on Thursday that an expansion of Apple’s payments and advertising business is also on the horizon, she added.

The media bundle could add about 2 percentage points annually to services revenue growth through 2025, helping to drive a 5 percent revenue and 12 percent earnings per share (EPS) annual growth rate through 2023, Huberty said.

Overall, the bias in prices is: Downwards.

The projected upper bound is: 179.87.

The projected lower bound is: 152.09.

The projected closing price is: 165.98.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 22 white candles and 28 black candles for a net of 6 black candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 86.8264. This is an overbought reading. However, a signal is not generated until the Oscillator crosses below 80 The last signal was a sell 8 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 59.78. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 19 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 177.This is an overbought reading. However, a signal isn’t generated until the indicator crosses below 100. The last signal was a sell 4 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 23 period(s) ago.

Rex Takasugi – TD Profile

APPLE INC closed up 0.080 at 166.520. Volume was 19% below average (neutral) and Bollinger Bands were 25% narrower than normal.

Open High Low Close Volume___
166.960 168.980 165.930 166.520 32,668,138

Technical Outlook
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 158.37 162.50 191.43
Volatility: 46 55 39
Volume: 34,856,184 42,758,572 33,790,900

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

APPLE INC is currently 13.0% below its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect moderate flows of volume into AAPL.O (mildly bullish). Our trend forecasting oscillators are currently bullish on AAPL.O and have had this outlook for the last 5 periods.

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