Apple rallied in December after holding $120. Now it’s back and threatening to break support at that level.
The price action is part of the ongoing technical weakness in the smart-phone giant. It had a false breakout in January and a trend-line failure last month. Today we got a clue why: AAPL has cut production of its iPhone 12 mini, according to Nikkei. Once again, technical analysis is miles ahead of fundamental analysis.
Here’s another interesting chart. It compares moves in AAPL with the SPDR Financial ETF since February 16 – the day financials broke out to a new 13-year highs.