The stock is currently up 0.8% as the bulls again bid higher. That comes after Thursday’s 2.85% rally, which sent the country’s largest company by market cap to new all-time highs.
Apple stock took off on Thursday following reports of its autonomous car. Apple’s current $2.61 trillion market cap edges out Microsoft’s (MSFT) - Get Microsoft Corporation (MSFT) Report $2.58 trillion valuation.
The stock is now working on its sixth straight daily gain.
Wedbush analysts added to the bullishness today. They named Apple their top FAANG pick for 2022, while setting a bullish price target on the Nasdaq.
Trading Apple Stock
In January, April and July, Apple blew the roof off with its earnings results. Yet the stock didn’t reward shareholders.
In the first two instances, Apple stock reversed hard. In both of those instances though, trend support held where it needed to. In the third instance, the prior all-time high near $145 ultimately held as support.
Apple has been a rewarding holding over the past year, but it’s also been frustrating for some investors. It’s slowly but surely pushed its way higher -- but the sluggishness and the selloffs after strong earnings have tested some investors' patience.
And while its gains have been solid, it still lags the S&P 500 in performance this year. Over the past year, Apple's 35% gain overtook the index's 32% return only due to this week's rally.
Even when it ran to highs in September, the ensuing correction knocked the stock down 12%.
Apple even lost its market crown to Microsoft that month.
Now that it's cruising higher, Apple has some upside targets investors must keep in mind
First is the 161.8% extension from the wild September 2020 range near $159.50.
A close above $160 could set the tone for a larger push, putting the 161.8% extension from the more recent range in play near $170.
Additionally, the two-times range extension from the previously-mentioned September 2020 range comes into play near $173.
We are watching for a close above $160 in order to open the door for a potential rally to the $169 to $173 area.
Above $175 and longer-term bulls can look at the $188 to $194 area as the next upside target zone.
On the downside, a move back below the prior high at $157.26 should have traders on guard for potentially more selling. Below Friday’s low and a test of the 10-day moving average may be next.