Apple Shares Enter Corrective Phase Within Long-Term Uptrend

Apple Inc. (AAPL) is on the radar for early-2026 as its stock showed further signs of weakening into the first pullback after a new record high breakout in October. Following the first bearish correction shares of AAPL should be ready to continue to show relative strength with a continuation of the long-term bull trend. Although the stock’s performance among other Nasdaq-100 components did not make the top 50, AAPL shares ended 2025 near trend highs and at a higher swing high, keeping it in a technically long-term bullish position.

The stock of AAPL reached a high of $288.62 for 2025 in early-December but ended that week forming a bearish weekly shooting star candlestick pattern. A breakdown from that one-week pattern subsequently confirmed that sellers were taking back control and that a swing high may be established. Subsequent bearish signals, including a weekly close below the 10-week average for the first time since late-July, further confirmed selling pressure and the likelihood of a deeper bearish correction than what had unfolded so far. At the high for the year, shares of AAPL were up by $38.2 or 15.3%, while the year ended with a $20.59 or 8.2% gain.

During the high week AAPL shares completed a 127.2% Fibonacci extended target at $284.82. The bearish reaction confirmed resistance near that initial target zone. That extension is derived from the large bearish correction that followed the December 2024 top. It provides a first new high target and the first price zone where more significant resistance might be seen based on Fibonacci analysis. A bearish correction from the 127.2% extension is normal and healthy for the bull trend.

While a decline to the 38.2% Fibonacci retracement of the most recent upswing at $255.34 would not be unusual, support seen higher, followed by an advance, would show greater underlying strength. Regardless, shares of AAPL remain in a long-term bullish position, with the bull trend anticipated to resume following the current correction.

The prior trend high of $260.10 provides an initial downside target. That price zone is further highlighted by the 20-week moving average, now at $259.49 and rising. Since the 10-week average has failed as support the 20-week average becomes a potential downside target. The 38.2% retracement level should be the minimum retracement before the bulls take back control. That is because a rising trendline soon crosses above that Fibonacci level at $255.34. Once that occurs it represents key dynamic support. Having said that, trendlines are not to be relied upon as a signal by themselves but the reaction of price near a line can provide clues about demand.

Another perspective is provided by the monthly chart. A large rising channel can be seen with a potential bearish monthly reversal setting up near the top of the channel. November’s low of $265.32 is key monthly support. Although the channel does not fit perfectly it does provide a gauge to show the vibration of price. The lower boundary of the channel structure was confirmed by the 50-month average during the 2025 bearish correction. Once a reversal signals from one side of a channel the other side becomes a potential target. Although this doesn’t mean the other side will be reached, it does increase the chance that middle of the channel will be. In the monthly chart, the 20-month average, now at $235.66, and the center line identify a similar area of support, suggesting they be tracked together.