We took out the caution flag on Apple ( AAPL) back on March 4 and included a Point and Figure chart with a $135 price target. Prices are not all that far away from this objective so let's check the charts and indicators again. 
In this daily barchart of AAPL, below, we can see a top pattern from November with a number of upside failures from December to late March. Prices have broken below the now cresting 200-day moving average line. This break is not just a one or two day phenomenon with the uptrend quickly resuming. This break was accompanied by increased volume telling you that traders have taken notice of the breakdown.
The On-Balance-Volume (OBV) line is weak and the Moving Average Convergence Divergence (MACD) oscillator is in a bearish alignment below the zero line.
In this weekly Japanese candlestick chart of AAPL, below, we can see that prices have made three weekly closes below the cresting 40-week moving average line. The weekly OBV line shows a three month decline and counting. The MACD oscillator is taking aim at the zero line and an outright sell signal. The lower shadows in sight.
In this daily Point and Figure chart of AAPL, below, we can see that prices have reached and exceeded a downside price target of $149.
In this weekly Point and Figure chart of AAPL, below, we see that the software now reveals a potential price target in the $102 area.
Bottom line strategy: AAPL is flirting with its October low. Some traders and or computers may try to defend this area and prices could bounce, but the odds favor still further declines in the weeks ahead. Avoid the long side until a real base pattern develops.
(Apple is a holding in the Action Alerts PLUS member club. Want to be alerted before AAP buys or sells AAPL? Learn more now.)
