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CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 69% of retail investor accounts lose money when trading CFDs with this provider. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money.
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Video Apple bullish breakout reinforced by value factor play

Article By: ,  Financial Analyst
September 12, 2019 5:43 AM
For traders who follow the U.S. stock market very closely, an interesting phenomenon has started to take shape. Since this Monday, 09 Sep, momentum factor-based stocks have seen a significant sell-off and in contrast, value factor-based stocks have rallied.
  •  A clear factor style-based rotation is at play in the U.S. stock market where the outperformance premium since the start of the year on momentum driven stocks over value-factor based stocks has narrowed significantly.
  • Interestingly, Apple is a key component stock with the highest weightage in the iShares S&P 500 value ETF where its share price has benefited indirectly from this factor rotation.
  • From a technical analysis perspective, Apple has managed to stage a bullish breakout from a 4-month range configuration in place since May 2019 accompanied by a relative high volume and positive momentum as indicated by the daily RSI oscillator.
  • Key medium-term support to watch for Apple will be at 211.50 in any pull-back for a further potential up move to retest its current all-time high at 233.47 before targeting the next resistance at 243.80 which is defined by the upper boundary of a medium-term ascending channel in place since 03 Jan 2019 and a Fibonacci projection cluster.
  • On the other hand, a break with a daily close below 211.50 negates the bullish tone a slide back to test the ascending channel support at 195.30

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