Analysis:
AAPL is trading within a descending wedge pattern, suggesting consolidation. The price is currently testing a critical support zone near $228, with a breakdown possibly leading to further downside. MACD shows a bearish momentum, while the Stochastic RSI indicates the stock is nearing oversold territory, potentially setting up a bounce.
Key Levels to Watch:
* Resistance: $235, $242, $250
* Support: $227, $225, $220
Trade Scenarios:
1. Bullish Scenario:
* Entry near $228–$227 support.
* Target: $235, $240.
* Stop-loss: Below $225.
2. Bearish Scenario:
* Short entry below $227.
* Target: $225, $220.
* Stop-loss: Above $230.
GEX Option Insights:
* Highest Positive GEX Resistance: $235, aligning with a significant call wall.
* PUT Wall Support: $227 and $225, indicating hedging activity at these levels.
* IVR: 50.2, suggesting moderate volatility.
* Directional Bias: Neutral to bearish unless the price reclaims $235.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always do your own research and trade responsibly.
Option Strategies
Bullish Strategy (Rebound from Support):
* Setup:
* Trade: Buy a call spread.
* Strike Prices: Buy the $230 Call and sell the $235 Call.
* Rationale: If AAPL rebounds off the $227–$228 support zone, it may head toward the $235 resistance.
* Expiration: 1–2 weeks out to limit theta decay while capitalizing on a short-term move.
* Risk: Limited to the premium paid.
* Reward: Defined by the difference in strike prices minus the cost.
Bearish Strategy (Breakdown Below Support):
* Setup:
* Trade: Buy a put spread.
* Strike Prices: Buy the $227 Put and sell the $220 Put.
* Rationale: If AAPL breaks below the $227 support, it may test $225 and potentially $220.
* Expiration: 1–2 weeks to capture momentum-driven downside.
* Risk: Limited to the premium paid.
* Reward: Defined by the difference in strike prices minus the cost.
Neutral Strategy (Sideways Movement Near Support):
* Setup:
* Trade: Iron Condor.
* Strikes: Sell the $235 Call and $225 Put, Buy the $240 Call and $220 Put.
* Rationale: If AAPL consolidates between $227 and $235, the iron condor collects premium while maintaining limited risk.
* Expiration: Short-term (e.g., 1 week) to maximize theta decay.
* Risk: Defined and limited by the wings.
* Reward: Premium collected.
Important Notes
* Monitor price action near $227–$228 support and $235 resistance for breakout/breakdown confirmation.
* Adjust stop-loss levels dynamically based on intraday momentum.
* Always size trades appropriately to manage risk.
Key Levels to Watch:
* Resistance: $235, $242, $250
* Support: $227, $225, $220
Trade Scenarios:
1. Bullish Scenario:
* Entry near $228–$227 support.
* Target: $235, $240.
* Stop-loss: Below $225.
2. Bearish Scenario:
* Short entry below $227.
* Target: $225, $220.
* Stop-loss: Above $230.
GEX Option Insights:
* Highest Positive GEX Resistance: $235, aligning with a significant call wall.
* PUT Wall Support: $227 and $225, indicating hedging activity at these levels.
* IVR: 50.2, suggesting moderate volatility.
* Directional Bias: Neutral to bearish unless the price reclaims $235.
Disclaimer: This analysis is for educational purposes only and does not constitute financial advice. Always do your own research and trade responsibly.
Option Strategies
Bullish Strategy (Rebound from Support):
* Setup:
* Trade: Buy a call spread.
* Strike Prices: Buy the $230 Call and sell the $235 Call.
* Rationale: If AAPL rebounds off the $227–$228 support zone, it may head toward the $235 resistance.
* Expiration: 1–2 weeks out to limit theta decay while capitalizing on a short-term move.
* Risk: Limited to the premium paid.
* Reward: Defined by the difference in strike prices minus the cost.
Bearish Strategy (Breakdown Below Support):
* Setup:
* Trade: Buy a put spread.
* Strike Prices: Buy the $227 Put and sell the $220 Put.
* Rationale: If AAPL breaks below the $227 support, it may test $225 and potentially $220.
* Expiration: 1–2 weeks to capture momentum-driven downside.
* Risk: Limited to the premium paid.
* Reward: Defined by the difference in strike prices minus the cost.
Neutral Strategy (Sideways Movement Near Support):
* Setup:
* Trade: Iron Condor.
* Strikes: Sell the $235 Call and $225 Put, Buy the $240 Call and $220 Put.
* Rationale: If AAPL consolidates between $227 and $235, the iron condor collects premium while maintaining limited risk.
* Expiration: Short-term (e.g., 1 week) to maximize theta decay.
* Risk: Defined and limited by the wings.
* Reward: Premium collected.
Important Notes
* Monitor price action near $227–$228 support and $235 resistance for breakout/breakdown confirmation.
* Adjust stop-loss levels dynamically based on intraday momentum.
* Always size trades appropriately to manage risk.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.