• Apple shares slide after rejection at 50-day SMA

• Price violates 200-day SMA and ascending trendline

• Momentum indicators deep in their negative zones

Apple’s stock has been very volatile in the past few months, opening frequently with significant price gaps. In the near term, the stock has been facing downside pressures, which led to a decline below the 200-day simple moving average (SMA) and the upward sloping trendline that connects its recent higher lows.

Should the retreat extend, initial support could be met at 177.94, which is the 38.2% Fibonacci retracement of the 198.08-165.50 downleg. A dive below that hurdle could open the door for the 23.6% Fibo of 173.18. Failing to halt there, the price could face the October bottom of 165.50.

Alternatively, if the stock rotates back above the 50.0% Fibo of 181.79, the 61.8% Fibo of 185.63 could prove to be the next barricade for the bulls to clear. Piercing through that region, the stock may test the 78.6% Fibo of 191.11. Further upside attempts could bring the all-time high of 199.40 under examination.

In brief, Apple’s stock has been on the retreat in the past few sessions, dropping below important technical levels. Hence, for the short-term picture to alter, the price needs to reclaim the 200-day SMA.