Apple Inc. (AAPL) shares continued their downward trend on Wednesday, diverging from a broader rally in the tech sector. The stock remains under heavy selling pressure following reports that Apple is delaying the rollout of artificial intelligence (AI) features for Siri, a move analysts warn could impact iPhone sales. Additionally, concerns over potential tariffs—initially imposed by the Trump administration—continue to weigh on investor sentiment, as Apple’s reliance on Chinese manufacturing raises fears of increased costs and lower margins.
After suffering its steepest single-day decline in two and a half years on Monday, Apple’s stock has now dropped 17% from its December record high. The stock was trading 2.2% lower at $216 in late Wednesday trading.
Technical Breakdown: Symmetrical Triangle Breach
Apple’s stock had been consolidating within a symmetrical triangle pattern after reaching an all-time high in December. However, this week saw a decisive breakdown below that pattern and the critical 200-day moving average, signaling a shift in momentum.
The sell-off has been accompanied by above-average trading volume, indicating strong conviction from larger institutional investors. The Relative Strength Index (RSI) remains below 50, reinforcing bearish momentum, though it is approaching oversold levels—historically, a zone where tactical buying opportunities have emerged.
Key Support Levels to Watch
Heading into Wednesday, the $219 level was expected to act as support, given its historical role as a trendline connecting key price points from June 2023 to January 2024. Although Apple briefly dipped below this level on Tuesday, it managed to reclaim it by the session’s close.
Should the stock fail to hold above this support, the next key downside level is around $207, an area that previously saw buying interest during a pullback in June 2023. A more pronounced decline could see the stock test support at $197—near the December 2023 peak and August 2024 trough. This area also aligns with a measured move price target derived from the symmetrical triangle’s depth, which projects a downside objective near $199.
Potential Resistance Levels
On the upside, the first significant resistance level sits at $237, where the stock would encounter selling pressure from the lower trendline of the broken symmetrical triangle and past peaks from October and July 2023.
A breakout above $237 could propel Apple’s stock toward $247, a level marked by confluence with the upper trendline of the symmetrical triangle, last month’s peak, and a mid-December retracement low.
Investor Outlook
While Apple’s stock remains under pressure, traders and long-term investors will be closely watching these key technical levels. Any signs of stabilization or reversal could present potential entry points, but further downside remains a possibility if selling momentum persists.
Related topics:
Euro Strengthens on Ukraine Ceasefire Optimism as Stocks Decline Amid Tariff Uncertainty
Kohl’s Stock Plummets Amid Grim Sales Forecast
China’s Stock Market Faces Continued Struggles Amid Global Economic Concerns
