AAPL is struggling, so watch supports

Question: Any chance I can get a look at an AAPL chart? Is 260 level a firm support level?

We flagged Apple (AAPL) in Straight from the Chart on October 24, citing a gap up and break out above 260 that confirmed a late 2024-late 2025 basing pattern with upside potential to 325. However, AAPL has not had much follow-through after this breakout and has lost leadership relative to the S&P 500 (SPX) since late November. In addition, AAPL shows risk from a late October into early January head and shoulders top on its daily chart.

Yes, we view the 260 area, along with the late October weekly upside gap at 255-253, as key support for AAPL. Since breaking these supports would likely invalidate AAPL's late October upside breakout, we view the 260 to 255-253 zone as important risk management support for AAPL longs.

If 260-253 holds, we have confidence in AAPL's upside breakout. If it does not, the pattern becomes sloppy with the next chart level at 244 and the rising 26- and 40-week moving averages near 251 and 234, respectively.

Chart 1: Apple (AAPL) (top) and relative to the S&P 500 (bottom): Weekly chart

AAPL's daily chart shows risk from a late October into early January head and shoulders top. Sustaining today's break below 265.32-267.55 would keep this breakdown intact. A decisive loss of "bull market" support for the 14-day RSI (price momentum) near 47 on December 31 provided a bearish leading indicator that increases the risk that AAPL has indeed broken down from a topping pattern on its daily chart.

Downside follow-through from this head and shoulders top would suggest risk to 256 (100% extension of the drop from the head high to the shoulder low projected down from the shoulder peak) and potentially lower to 244-242 (pattern count, chart support, 38.2% retracement of the April-December 2025 rally, and the 16.8% extension).

The initial target for the top breakdown at 256 is within the 260 to 255-253 risk management support zone highlighted above.

In order to suggest a false breakdown from the head and shoulders top, AAPL needs to reclaim the 265-268 range.

Chart 2: Apple (AAPL) (top) and the 14-day RSI - price momentum (bottom): Daily chart