At the end of May, a scan on stock and ETFs revealed that Apple Inc. (AAPL) generated a monthly doji buy signal. In April, AAPL opened at $170.96 and closed at $170.10 with a high of $178.12 and a low of $163.85. By the end of May, AAPL closed at $192.32, well above the doji high. The close was 14.8% above the doji low and also surpassed the yearly pivot at $171.43. The monthly starc+ band is at $215.64 with the yearly R1 at $219.69, and on a strong monthly close above the resistance at $199.62, there are upside targets in the $275 area. The volume increased in May, and the Vol Confirm moved above the initial MA but is still below the longer-term signal line. The monthly DTS and Vol Confirm turned positive in May, indicating a positive trend for AAPL. However, AAPL has not yet been signaled as a market leader by the JA_Aspray Insight.
Despite closing the week up 1.25%, AAPL closed below the week’s high at $192.99, which now acts as a near-term resistance level. The weekly downtrend was broken three weeks ago and is currently at $187.19. The new monthly pivot for June is at $184.39, with a rising 20-week EMA at $181.32 serving as support levels for potential corrections. The weekly relative performance (RS) shows that AAPL is now leading the S&P 500 higher, as it has moved above its WMA. The on-balance-volume (OBV) has stayed above the support level at line b and moved above its WMA, indicating increasing volume as AAPL moves higher.
The daily technical studies for AAPL are also positive, with the rising 20-day EMA at $186.70 suggesting potential areas for new buying. It is important to note that new monthly doji buy signals can often take 2-3 months to become profitable. Furthermore, the monthly signals are generally considered stronger and more reliable than signals on weekly or daily data. The signals remain in effect as long as the doji low (buy signal) or doji high (sell signal) are not exceeded. Overall, AAPL’s recent performance and technical indicators suggest a bullish trend, with potential upside targets in the $275 area if certain resistance levels are surpassed.
