Since our last article on Apple (AAPL), on April 14, 2012, and upon further review, it was revealed that our downside targets based on Edson Gould’s Speed Resistance Lines were actually too optimistic. Below is the revised downside targets:
The revised conservative downside target is $312.53 while the extreme downside target is $235.02. Our previous downside target, from our April 14, 2012 posting (found here), was found to have errors in the $424.15 and $117.05 figures.
What stands out is the fact that Apple (AAPL) has declined significantly below the $530 support level (red arrows) that was initially established, retested and then violated to the downside. All that seems to remain on the downside, before the next support level, is at the $422 range.
The current revision suggests that there is a lot further to go on the downside. However, as Apple is no ordinary company neither is it an ordinary stock.