AAPL Apple Weekly Chart; Negative Divergence; Tweezer Top; Price Extended

Apple is cooked. Like the old saying about lemons and making lemonade, at least the rotten apple can be made into a pie. CEO Tim Cook must be cooking the books. AAPL is the darling of the US stock market for the last couple decades. It can do no wrong like the attractive sibling. Well, all good things come to an end, and all pretty faces do not last forever. Apple is about to turn into an ugly hag.

Focusing in on the last couple weeks, price makes a few matching highs so the chart indicators can be assessed for potential neggie d. The blue circle shows a Tweezer Top in play that, as the name implies, signals a top (conversely, a Tweezer Bottom signals a bottom). The chart indicators are clearly in universal negative divergence over the last month as price prints consistent matching or higher numbers. It's a top.

The dark maroon line shows prices at relatively matching highs (the first peak is higher because of only a 2-day orgy spike in price that came right back down) and again, all the indicators are in neggie d over that 3-month time frame. As price prints a higher high compared to a year ago, same-o, same-o, with neggie d. Same-o reminds Keystone of a new tune from J D, no, not Vance the 'Childless Cat Lady', J D McPherson, a far cooler cat. Sunshine Getaway. The band will be at The Bowery in a few days.

Anyhoo, AAPL is cooked. It appears its new iPhone is not receiving the love it expected. The AI hype continues but comically, each interview of an Artificial Intelligence guru results in the tech geek unable to give a down to earth example of a great improvement AI offered. Instead, the AI guru will proclaim that AI is already in use and helping people. AI may be apple pie in the sky. Many of the people cheering AI are not involved in its development.

The pink boxes for the ADX show that a strong trend higher was in place last summer but that petered out in September as AAPL was falling in price. The big rally this year developed into a strong trend higher in July but is on the brink of petering out. When the ADX drops below 26-29, the strong trend higher for Apple on the weekly basis will be over (and the ADX is a lagging indicator).

Price is extended above the moving average ribbon and needs a mean reversion lower. The Aroon is setting up for a potential negative cross. Interestingly, the red negative crosses occur more towards when the down move is done. All the parameters above are negative so the expectation is for a rollover in Apple and for it to begin a multi-week down move.

The three orange dots show the previous triple top that now does not exist. You can scroll back for that chart and discussion. if you take a purple crayon and draw a thick line of support across that prior triple-top that was nullified, Keystone likes purple crayons because they taste like grapes, the 195-ish area is a good downside target.

Keystone is not holding AAPL long or short now but the obvious play going forward is to short the rallies. If you made a lot of money in Apple, take the dough and ride off into the sunset. Warren Buffet continues ditching Bank of America shares; do you think he will be ditching Sapple?

Let's take a look at the shorter-term charts to see if a top can be timed. On the daily chart, there is a triple-top where the indicators are weaker as time goes on. The trend is directionless sideways and the chart does not tell a lot for timing. Ditto the 2-hour chart so the approach of simply shorting the rallies going forward would be the play. This information is for educational and entertainment purposes only. Do not invest based on anything you read or view here. Consult your financial advisor before making any investment decision.

Note Added Monday Evening, 9/30/24, at 5:57 PM  EST: AAPL 233.00.

Note Added Tuesday Evening, 10/1/24, at 5:46 PM EST: Apple takes the pipe collapsing -2.9% to 226.21.

Note Added Saturday, 10/5/24: AAPL 226.80. Sapple stumbles through the sideways channel at 215-233 for the last 3 months. It is time to sh*t or get off the pot. Apple bulls win big above 233 while apple bears win big below 215. I'm a Loser from the Apple Studios.