Key Takeaways
- Apple shares will be in the spotlight ahead of the iPhone maker’s highly anticipated fiscal second-quarter results, due after Thursday’s closing bell.
- Wall Street will be paying close attention to the tech giant’s guidance for the current quarter in an effort to determine what impact tariffs and potential price increases have had on consumer demand.
- The stock trades significantly above this month’s low, though the relative strength index signals lackluster price momentum ahead of earnings.
- Investors should monitor key support levels on Apple’s chart around $169 and $157, while also watching crucial resistance levels near $220 and $237.
Apple (AAPL) shares will be in the spotlight ahead of the iPhone maker’s highly anticipated fiscal second-quarter results, due after Thursday’s closing bell.
Wall Street will be paying close attention to the tech giant’s guidance for the current quarter in an effort to determine what impact tariffs and potential price increases have had on consumer demand for the company’s devices.
Investors will also be looking for updates on recent reports that Apple intends to produce most of its U.S.-sold iPhones in India by the end of 2026. The company is aiming to mitigate risks related to the Trump administration’s steep import duties imposed on China, a country where Apple reportedly assembles up to 90% of its iPhones.
Apple shares trade 16% lower year to date as of Friday’s close but have recovered nearly 25% from this month’s low as investors assess the company’s plans to navigate tariff-related challenges.
Below, we break down the technicals on Apple’s weekly chart and identify key price levels worth watching ahead of the tech giant’s earnings report.
Lackluster Price Momentum Ahead of Earnings
After staging a dramatic intraday reversal at the 200-week moving average (MA) on above-average volume earlier this month, Apple shares have continued to gain ground.
However, while the relative strength index (RSI) has moved upwards ahead, the indicator remains just below the 50 threshold, signaling lackluster price momentum.
Let’s point out key support and resistance levels on Apple’s chart that investors will likely be monitoring.
Key Support Levels to Monitor
The first area to monitor sits around $169. Retracements to this level on the chart would likely attract strong buying interest near this month’s low, which also closely aligns with the August 2022 peak and troughs in October 2023 and April 2024.
The bulls’ failure to defend this key technical level opens the door for a drop to lower support at $157. Investors could seek entry points in this region near a horizontal line that connects several peaks and troughs on the chart between September 2021 and March 2023.
Crucial Resistance Levels to Watch
In the event of a rally, it’s worth keeping an eye on the $220 level, an area currently just below the 50-week MA. The shares could run into selling pressure in this location near price action on the chart extending back to June last year.
Finally, further buying could see Apple’s stock revisit the $237 area. Investors who have accumulated shares at lower prices may seek profit-taking opportunities in this region near last year’s July and October peaks.
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As of the date this article was written, the author does not own any of the above securities.
