The market predicts that Apple will fall into a death cross as soon as Friday (3rd), if it comes true, this will be the first time since the outbreak of the new crown epidemic, because the death cross means short-term selling into a long-term downtrend, suggesting that Apple’s market outlook may not be good.
Apple’s shares have been under pressure this year as supply chain disruptions, coronavirus-related lockdowns threaten to hurt Apple’s profits, and rising interest rates have led to a slide in the valuations of high-growth stocks. Shares are currently trading regarding 16% below their record closing price of $182.01 on Jan. 3, 2022, and have rebounded more than 10% since closing at a 10-month low of $137.35 on May 19.
Apple closed a red 1.68% to $151.21 per share on Thursday (2nd), and its stock price was close to falling into a death cross. Apple’s 50-day moving average came to $159.573 and its 200-day moving average came to $159.489. The two moving averages are very similar.
The 50-day moving average crosses below the 200-day moving average in a death cross, which is often seen as the dividing line between a long-term uptrend and a downtrend, and some technical analysts believe it means a short-term sell-off is entering a long-term downtrend.
According to market analysis, according to the speed of Apple’s average change, Apple is expected to fall into a death cross as soon as Friday, which may set off a longer decline for Apple.
Looking back, the last time Apple fell into a death cross was in December 2018, when Apple stock fell 32.4% from $232.07 on October 3, 2018, and has since fallen another 9.3%.
The lacklustre performance of other big tech giants following falling into death crosses this year might also be a lesson for investors. Microsoft (MSFT-US) had a death cross on March 15 and has since fallen 5.2%.
Alphabet (GOOGL-US) since March 9 and Amazon (AMZN-US) have lost around 11.9% and 10.9% so far since the death cross on Jan. 25.that finger The index is now down 9.5% following the shocking death cross on February 18.
