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BZ Chart of the Day: Apple Drops To Critical Support

Shares of Apple Inc. (NASDAQ: AAPL) have dropped to the important $138 level. This level has been support in the past and it may become so once again. That means there’s a chance the current selloff pauses or even ends.

Benzinga · 06/10/2022 11:34

Shares of Apple Inc. (NASDAQ:AAPL) have dropped to the important $138 level. This level has been support in the past and it may become so once again. That means there’s a chance the current selloff pauses or even ends.

As you can see on the following chart, $138 was support in October and again in late May. Each time the shares fell to this price, buyers stepped in and put an end to the downtrend.

Sometimes, a support or resistance level may stay intact for a long period of time. Some traders call this "market memory." The market "remembers" the support or resistance and stocks reverse their trends off them. That may be the case here.

To learn more about trading, check out the new Benzinga Trading School.

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Photo: dennizn via Shutterstock