Technical Analyst, Saxo Bank Group
Summary: A follow up on the Technical Update on Apple, Microsoft, Meta, Amazon, Alphabet, Nvidia and Tesla from the 10th August where top and reversal patterns were discussed. See link below before Apple text
Patterns that strongly indicated the uptrends in most of the mentioned stocks were over. Only Amazon and Alphabet are still holding on. But their uptrends are very weak and could soon reverse too. Tesla sell-off seems brutal taking out several supports
Keep an eye on the support levels.
Apple AAPL touched the support at 176.39 a few days ago but is likely to have another go shortly.
Trend is down and if Apple is closing below the support next support is at 170.76 but the down trend could take Apple down to stronger support at around 160.25
A bounce from the support at 176.39 could be seen but is likely to be short-lived and limited.
Strong resistance at 185.52
Microsoft MSFT has broken below its support at around 323.24 and seems set for a move down to next support at around 312.29.
The 100 Moving Average will offer some support, however.
RSI sentiment is negative indicating lower levels are likely and if MSFT is closing below 312 it could be hit with heavy selling down to around 295.
A close above 328.50 can give a bit of relief to investors but it is likely to be short-lived up till around 335. The declining 55 MA will limit its upside potential.
Meta Platforms is testing key support at around 301. It has closed the gap which is a negative sign. If Meta is closing below next key support at around 288.30 it could fuel a sell-off down to 272-260 support area
For Meta to resume uptrend a close 318.45 is needed. Amazon AMZN is still holding up i.e., uptrend intact but weak.
If AMZN is closing below 135.35 it could be hit by widespread profit-taking sending the share price down to test the lower rising trendline
RSI is still showing positive sentiment but there is massive divergence which is a strong indication of uptrend is very weak, strongly suggesting a correction/trend reversal.
Not closing the gap i.e., not closing below 135.35 is key.
Alphabet C GOOG is hovering around the top of the gap area at 129.66. If closing the gap i.e., closing below 125.70 and below the lower rising trendline a sell-off down to 120-15 will be in the cards.
RSI is still showing positive sentiment but there is massive divergence which is a strong indication of uptrend is very weak, strongly suggesting a correction/trend reversal.
Nvidia NVDA bounced strongly off its key support at around 406.32. RSI closed below the 40 threshold i.e., showing negative sentiment, and the bounce could prove to be short-lived unless it can close above 453.42.
If that scenario plays out a push for all-time highs at around 480.88 could be seen.
If NVDA cannot hold up and is closing below 403.10 it is likely to be hit by massive sell-off down to 373.56 support, which is top of the big gap area from May. The 100 Moving Average will offer some support around that level.
Tesla TSLA closed yesterday below another key support at around 234.80. The stock is almost in a free fall.
RSI showing negative sentiment with no divergence indicating lower levels are likely.
A move down to around 207.63 is in the cards.
the 100 Moving Average will offer some support and TSLA can pause its selling pressure at the lower part of the Cloud.
For TSLA to reverse the down trend a close above 264.78 is needed.
A move back above 251.80 is likely to only pause the selling pressure for a while
The top and reversal pattern on the weekly chart as outlined in previous Tesla update is unfolding.
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Head of Fixed Income Strategy
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Head of Commodity Strategy
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Chief Investment Strategist
Quarterly Outlook
Head of Fixed Income Strategy
Quarterly Outlook
Head of Commodity Strategy
Disclaimer
The Saxo Bank Group entities each provide execution-only service and access to Analysis permitting a person to view and/or use content available on or via the website. This content is not intended to and does not change or expand on the execution-only service. Such access and use are at all times subject to (i) The Terms of Use; (ii) Full Disclaimer; (iii) The Risk Warning; (iv) the Rules of Engagement and (v) Notices applying to Saxo News & Research and/or its content in addition (where relevant) to the terms governing the use of hyperlinks on the website of a member of the Saxo Bank Group by which access to Saxo News & Research is gained. Such content is therefore provided as no more than information. In particular no advice is intended to be provided or to be relied on as provided nor endorsed by any Saxo Bank Group entity; nor is it to be construed as solicitation or an incentive provided to subscribe for or sell or purchase any financial instrument. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. As such no Saxo Bank Group entity will have or be liable for any losses that you may sustain as a result of any investment decision made in reliance on information which is available on Saxo News & Research or as a result of the use of the Saxo News & Research. Orders given and trades effected are deemed intended to be given or effected for the account of the customer with the Saxo Bank Group entity operating in the jurisdiction in which the customer resides and/or with whom the customer opened and maintains his/her trading account. Saxo News & Research does not contain (and should not be construed as containing) financial, investment, tax or trading advice or advice of any sort offered, recommended or endorsed by Saxo Bank Group and should not be construed as a record of our trading prices, or as an offer, incentive or solicitation for the subscription, sale or purchase in any financial instrument. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws.
Please read our disclaimers:
- Notification on Non-Independent Investment Research (https://www.home.saxo/legal/niird/notification)
- Full disclaimer (https://www.home.saxo/en-gb/legal/disclaimer/saxo-disclaimer)