Apple Is Close to its 50 Day Moving Average

Published on Tuesday, 03 July 2012 06:00 Written by TradersHuddle Wire

New York, July 3rd (TradersHuddle.com) - Apple, Inc. (NASDAQ:AAPL) closed the trading day at $592.52, near its 50 day moving average that is set at $572.36. Apple's price action is just above this important support level, providing a trading opportunity.

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.

The peaks and troughs algorithm shows calculated support at $548.50 and calculated resistance at $588.50. These levels should also be evaluated when planning trades, as they provide an insight into the latest price action.

Traders wanting to establish a position on Apple should look for evidence of buying near the 50 day moving average, and open this position as close as possible to this important level. Also, they need to consider the latest range defined by the peaks and troughs algorithm for insights on other key levels that might impact an upside or downside move.