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Apple Touches $3T. Which FAANG Is Next to Reach Record?

Apple recently hit new all-time highs, but where is the rest of FAANG? Let's look at the next one from the group that could hit new highs.

While the market was searching for direction early on Monday, Apple  (AAPL) - Get Apple Inc. Report stock had no trouble finding its stride.

At its high, shares rose 3% and the stock settled higher by 2.5% on the day. Amid the move, Apple stock hit new all-time highs and finally hit a $3 trillion valuation.

It’s the first company to ever garner such a valuation.

However, when I look across the board, the rest of the FAANG space doesn’t look quite as strong.

In fact, three of those five components — Amazon  (AMZN) - Get, Inc. Report, Netflix  (NFLX) - Get Netflix, Inc. Report and Meta  (MVRS) - Get Meta Report — are more than 10% below their respective one-year high.

Apple is down marginally after hitting highs on Monday, so that leaves us with just one stock: Alphabet  (GOOGL) - Get Alphabet Inc. Class A Report  (GOOG) - Get Alphabet Inc. Class C Report.

Will that be the next to hit new all-time highs?

Trading Alphabet Stock

Weekly chart of Alphabet stock.

Weekly chart of Alphabet stock.

Based simply on the technicals, Alphabet would seem like the most likely candidate for the next FAANG stock to hit new highs. It’s less than 4% off its all-time high, even though that level was hit back in mid-November.

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In other words, Alphabet has been consolidating for almost two full months. It was also the top-performing FAANG holding in 2021, dominating the other four holdings.

With that being said, the charts are far from perfect at the moment.

So far Alphabet is lower for the week, as it continues to struggle with the $2,925 level. At the same time, it’s struggling to hold its 10-week moving average, while it remains just above the 21-week.

If it can hold the 10-week and 21-week moving averages, the stock will look good moving forward.

If Alphabet stock can’t hold these measures, it will put the $2,800 level in play.

On the upside, let’s see if Alphabet can clear $2,925, then downtrend resistance (blue line). If it can do that, $3,000 is on the table. Should the stock make new highs above $3,019.50, then the 161.8% extension is in play near $3,110.

How do we view Alphabet overall?

Obviously the stock could be trading better from a trend perspective. The weekly chart does a good job of highlighting the larger trend, but clearly shows the stock’s consolidation over the past few months.

That’s clear as Alphabet stock works on its sixth weekly decline in the last nine weeks.

That said, bulls are confident that the stock will eventually resolve to the upside, so long as the fundamentals remain intact.