Wednesday, July 27, 2016

$AAPL Good earnings still didn't get it out of the grave.

Apple had some big news yesterday with good earnings. iPhone is doing well but let's take a look at the charts so see what the market has to say about all of that.

It is pretty easy to put some lines on this thing. We have the 200-day average here in the teal color and red is the 50-day average. The trend line is from last summer so it’s about a one-year trend line.

You cand see that the little jump up this morning - the gap up - based on the earnings and I shouldn't say a little, it was at 6% jump. However, it just hit the 200-day average and hit the trend line. It did not break through and there was really nothing special about it other than it was a gap.

Now you can argue that here is a resistance level with a jump through that and that, of coursem, is a positive . It did bounce off the 50-day average yesterday and again that was another positive but those are short-term things. The longer-term issues of the 200-day average and the one-year trend line are still holding as resistance.

Take a look down below with the studies. On-balance volume trend is still to the downside for the last year. Below that is price relative or relative strength or relative performance. Again the same thing - the trend is down for about the last year and even the jump today didn't take it back and change that trend.

Just for some perspective let's take a look at the weekly chart. Okay just cleaned up a few of those indicators as they are more of the daily time frame. Also ignore the averages again they are the daily not weekly averages. You can see the trend line from last year.

Put in the horizontal line here . What I did was put the line at the 2012 peak which was obviously a pretty major high and acting now support. You can see it wasn't perfect but it did act as support this year on three occasions. Therefore, some good news there. The major trend in Apple is still to the upside and major support held. The bad news is that this did not break the stock out of its one-year decline so it is still within the pattern and you still have to give the bears some credit here for holding the advance back.

Of course if it does break through with any kind of volume in the next week or so then we have to change our tune but for now no real technical change on Apple based on the earnings. https://www.youtube.com/watch?v=f1o1k58QNiQ



Submitted July 27, 2016 at 11:38AM by TechnicianApp http://ift.tt/29ZNWfW

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