Apple Close to Support?

Published on Tuesday, 21 February 2012 06:20 Written by TradersHuddle Wire

New York, February 21st (TradersHuddle.com) - Shares of Apple, Inc. (NASDAQ:AAPL) ended close to calculated support at $486.63 with current price action placing the stock near levels that will raise attention of traders looking for an entry point.

Apple's current stock range is defined by current calculated support defined at $486.63 and by the resistance level at $526.29, which could be used as a reference by traders planning their trades. The area defined as calculated support, is where buying might materialize, which could provide a lift to shares of Apple, Inc.. However, this area if breached will signal participants that the stock failed to entice buyers to step in and support the stock.

Traders wanting to establish a position should pay close attention to Apple's price action, and establish a position as close to support as possible, but only after buying materializes. Traders should understand that the resistance point at $526.29 might limit their upside, however if the stock breaks resistance, it could be a good point to add to the position.

Shares of Apple, Inc. closed at $502.12 in the previous trading session.

Apple Inc. (NASDAQ:AAPL) designs, manufactures, and markets personal computers, tablet computers, mobile communication devices, and portable digital music and video players, as well as sells various related software, services, peripherals, and networking solutions. The Company sells its products worldwide through its online stores, its retail stores, and a variety of distribution channels. Apple through its ITunes store sells third party music and video content, its applications store sells Apple's own and third party software applications for its iPhone iPad, and iPod products.