Technical Analysis – Apple stock hits another record in exponential uptrend

Marios Hadjikyriacos, XM Investment Research Desk

Apple’s stock price continues to hit record highs after record highs, with the rate of gains increasing exponentially in recent months, something shown by the increasingly steep slope of the uptrend lines that have been supporting the price action. Practically everything paints a bullish picture, with the stock posting higher highs and higher lows above all its moving averages, and above the steepening uptrend lines.

The only warning signal comes from the RSI, which seems to have topped deep within overbought territory – a soft signal that upside momentum may be losing some steam. The MACD is also extremely high but remains safely above its red trigger line.

If the bulls stay in control and push the price back above the record high of 316.9, that would bring the price into unchartered waters again, turning the focus to round psychological numbers such as 320.0 initially. If that fails to hold too, the next target may be the 330.0 handle.

On the downside, the first obstacle for the bears may be the 306.0 area, where a negative break might open the door for the 295.0 region, marked by the January lows. Even lower, the 285.0 zone could attract attention.

In short, everything paints an extremely bullish picture from a technical perspective, though the RSI is warning of a slowdown in upside momentum.