From Bret Kenwell's "Can Amazon and Apple Continue to Lead Stocks Higher?" posted Friday by The Street:
Apple shares have traded higher in six straight weeks and in seven of the past eight weeks. The chart (below) shows how fast and furious the move has been.
Click to enlarge.
Now that Apple stock is coming into an area of interest on the charts, I am curious to see how it handles the current zone. The 78.6% retracement comes into play near $171.50, while downtrend resistance is just above this measure (blue line).
If Apple can push through this area, the move could be very impressive, unlocking a potential push into the $177.50 to $180 zone. Any move to or above $180 has been tough for Apple stock to maintain traction, and I suspect the same in this scenario.
On the downside, the 10-day moving average has been active support. That will be the expectation when Apple shares do finally pull back.
My take: Is this how the algos think?