Apple Inc. (NASDAQ:AAPL) Target $240

Apple Inc. (NASDAQ:AAPL) Target $240

Apple Inc. (NASDAQ:AAPL) Target $240

This week saw Apple (AAPL – $223.84 Trade ) climb the leaderboards to become the most-popular stock among millennial traders. Facebook (FB – $162.32 Trade ) was knocked off of its top spot for the first time in eight weeks. The increase in popularity of Apple stock comes straight after the unveiling of the new iPhones.

Since Apple hit a market cap of $1 trillion last month, the company has been on a roll. Wednesday saw the Cupertino tech monolith unveil the iPhone XS, XR and Apple Watch Series 4. Eager customers will be excited to know that preorders for the iPhone XS and the Apple Watch Series 4 will start on Friday. Apple will be sending out the new products next week.

It is still unknown just exactly how much Apple stock popularity has increased since Wednesday. It’s important to remember that the new products that Apple unveiled had already leaked and been critiqued before the official unveiling.

The iPhone XR is priced at $749, with the more advanced model the iPhone Xs priced at $1,000. The most advanced iPhone of them all, iPhone Ss Max, dons a price tag of $1,100. Wall Street estimates of the new phones are just short of their official prices. Goldman Sachs thinks that the average customer would be suited to the XR model, which is $50 more expensive than the 8+. Goldman Sachs also dropped their earnings per share estimate by 5% to $13.77 and lowered the price target to $240.

Unlike Goldman Sachs, others on Wall Street say that the pricing of the new iPhone will reduce the risk that average selling prices will decrease. It is too early to tell how consumers will take to the new iPhones as pre-order numbers have not been revealed.

Some investors have even gone to the lengths of saying that the new iPhone XS may be the driving force Apple needs to break the $400 a share mark. Although, AAPL stock analyst have been torn since the unveiling of the new iPhones. On one hand, the new generation of iPhones is opening up Apple’s user base, which in-turn should increase revenues and profits. Goldman Sachs analyst, Rod Hall, is slightly less optimistic about Apple’s new generation of phones. Causing him to lower AAPL stock earnings forecast.

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

The projected upper bound is: 232.63.

The projected lower bound is: 216.59.

The projected closing price is: 224.61.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 3 white candles and 7 black candles for a net of 4 black candles. During the past 50 bars, there have been 29 white candles and 21 black candles for a net of 8 white 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 63.2506. This is not an overbought or oversold reading. The last signal was a buy 3 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 60.12. 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 sell 6 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 27. This is not a topping or bottoming area. The last signal was a sell 6 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 sell 5 period(s) ago.

Rex Takasugi – TD Profile

APPLE INC closed down -2.570 at 223.840. Volume was 100% below average (consolidating) and Bollinger Bands were 13% narrower than normal.

Open High Low Close Volume___
225.750 226.840 222.522 223.840 1,056

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 224.08 207.20 184.04
Volatility: 28 25 27
Volume: 34,222,468 26,895,138 30,618,434

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 21.6% above its 200-period moving average and is in an upward trend. Volatility is extremely high when compared to the average volatility over the last 10 periods. There is a good possibility that volatility will decrease and prices will stabilize in the near term. 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 45 periods.

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