Apple Stock ( $AAPL ) is another instrument that has given us trading opportunities lately. As our members know the stock is having clear bullish sequences and we kept buying dips in 3,7,11 swings whenever we got an opportunity. We recommended members to avoid short-selling the stock in any proposed pull back while keep favoring the long side. Recently Apple stock made clear 3 waves pull back and found buyers at the blue box as we expected. In this technical blog we’re going to take a quick look at the charts of AAPL published in members area of the website and explain the Elliott Wave structure and trading strategy.
Apple ($AAPL) Elliott Wave 4 hour chart 01.19.2022
Current view suggests Apple Stock is doing (4) blue correction which is unfolding as Elliott Wave Zig Zag Pattern. Pull back is showing incomplete lower low sequences, suggesting more downside toward blue box area: 162.1-152.8. As the main trend is bullish we expect buyers to appear at the blue box for 3 waves bounce at least. Strategy is the same as always, once bounce reaches 50 Fibs against the Bred high, we will make long position risk-free ( put SL at BE). Invalidation for the trade would be break of marked invalidation level 152.8
As our members know, Blue Boxes are no enemy areas, giving us 85% chance to get a bounce.
Apple($AAPL) Elliott Wave 4 hour chart 01.11.2022
The stock has found buyers at the marked zone and we are getting good reaction from there. Pull back has ended at 154.73 low. The rally from the blue box reached and exceeded 50 fibs against the ((B)) connector. Consequently, members who have taken the long trades at the blue box now enjoy profits in risk-free trades. Now we would need to see break of III red peak in order to confirm next leg up is in progress. Short term cycle from the 154.73 low looks to be unfolding as 5 waves structure. While above 170.61 low, we could be in wave 5 red toward 177.6-179.7 area.