Apple Stock Price Could Hit $160 if the Bullish Pennant is Complete

Summary:

Apple stock price is trading slightly higher, and could hit as high as $160 in the coming weeks if the bullish pennant is completed.

Apple share price is trading slightly higher after an initial dip on market open as the company seeks to build on its stellar earnings report. The company says it shipped 12.9 million iPads in the second quarter. This accounted for nearly 32% of the tablet market share.

This information comes just as the company is preparing to launch a new range of devices built on the iOS 15 software, which will mark the entrance of the company’s gadgets into the 5G technology classification.

Technical Levels to Watch

The intraday bounce on the active daily candle establishes the third touchpoint on the lower trendline, establishing a triangle consolidation area which could also be viewed as an evolving bullish pennant. Price may trade between the two borders and the range formed by 147.46 as the ceiling and 145.08 as the floor.

A break above the upper pennant border concludes the pattern and opens the door for a measured move towards 160.60, with intervening targets at 151.68 and 155.85 (78.6% and 88.6% Fibonacci extension levels, respectively).

On the flip side, a decline below the pennant’s consolidation area targets 139.97 initially, with 137.93 and 135.94 serving as immediate targets to the south. 131.95 is also a potential target to the south if the decline is extensive. A breakdown of the consolidation in this manner invalidates the pattern.