Shares of Apple (NASDAQ: AAPL), which is also the world's most valuable listed company, sharply reversed from the monthly highs. The stock dropped back to below $180 ahead of Apple’s annual event on September 12. As of writing this article, the stock trades at $176.
The stock fell more than 4% on Thursday after China banned government employees from using iPhones as their work phones due to security concerns. China is Apple’s 3rd largest market accounting for 18% of its revenue as of last year. Apple lost $200 billion in market value over the past two days. On the other hand, Taiwanese contract electronics maker Foxconn (Apple's biggest supplier) reported a decline in revenue for August raising concerns about the upcoming iPhone 15 launch.
Countdown begins for the iPhone 15 series launch event
Apple's next big event is likely to be held on Tuesday, September 12. This time Apple Event will be called “Wonderlust.” The event will take place at the Apple Park headquarters in Cupertino. The event will be live-streamed on Apple.com and the Apple TV app. The leading smartphone brand already announced that the iPhone 15 series reveal will take place on 12 September.
The new iPhone 15 series includes four models – iPhone 15, iPhone 15 Plus, iPhone 15 Pro and iPhone 15 Pro Max. The tech giant may possibly unveil the Apple Watch Ultra 2 and there will almost certainly be an Apple Watch Series 9 and new Air Pods with a USB-C port launching at the same time.
Apple stock price struggles following dilution
As seen in the last few weeks, the risk of a slowing China is taking its toll on the iPhone maker. The recent weak China economic data intensified concerns about lowered demand from the world's second-largest economy. However, considering the bearish consolidation, the Apple iPhone launch date is among the biggest events of the year for the company and Apple investors. Most of the time, the stock traded higher after the company unveiled its newest products.
Apple shares are up 50% from the beginning of the year and the stock reached a new all-time high of $198.22 in July. Looking at the chart below, the recent price action also indicates the Apple share price has been in the red for the past few days. In the short term, If the recent selling pressure continues the next strong support level is $171 then the key area of $164. Another confluence comes from the presence of the 200-day moving average in the same region. In case of a deeper correction, a test of the range lows at $150 is the most likely scenario. On the upper side, the first immediate resistance can be found at $182.30/80 and then $188/90.
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