How to Trade Apple Amidst Strong Demand for Latest iPhone
Last week, Apple unveiled its latest iPhone models in its always highly anticipated annual event. Whilst the smartphone’s latest updates may have underwhelmed some, Apple has apparently experienced a surge in pre-orders. Could strong demand help rejuvenate the tech-giant’s share price?
Learn more about this and what analysts are forecasting for the stock.
| Stock: | Apple Inc |
| Symbol for Invest.MT5 Account: | AAPL |
| Date of Idea: | 18 September 2023 |
| Time Line: | 6 - 12 months |
| Entry Level: | $185.00 |
| Target Level: | $208.00 |
| Position Size for Invest.MT5 Account: | Max 5% |
| Risk: | High |
- The Invest.MT5 account allows you to buy real stocks and shares from 15 of the largest stock exchanges in the world.
All trading is high risk and you can lose more than you risk on a trade. Never invest more than you can afford to lose, as some trades will lose and some trades will win. Start small to understand your own risk tolerance levels or practice on a demo account first to build your knowledge before investing.
Demand for Latest iPhone Appears to Outstrip Supply
The world’s largest company has struggled in the stock market in recent weeks, with share price falling more than 9% since the beginning of August.
Not even Apple’s hotly anticipated event on 12 September, where the latest iPhone models were unveiled, was enough to reverse the recent malaise, as investors demonstrated concern regarding overall demand for the company’s flagship product.
Nevertheless, Apple shares enjoyed a positive start to the week as investors appeared optimistic about demand for the latest iPhone models. A surge in pre-orders has led to delivery times for the higher end iPhone 15 Pro Max being pushed back by several weeks in some markets.
This apparent strong demand is a positive for the stock and could set the company up nicely for the final quarter of the year, which, historically, is Apple’s strongest. Nevertheless, some analysts remain sceptical of the new iPhone’s ability to drive growth, bemoaning a lack of game-changing updates and the absence of meaningful price increases in the latest models.
Let’s take a closer look at what analysts forecast for the stock in the months ahead.
Apple Stock Forecast - What do the Analysts Say?
According to analysts polled by TipRanks for an Apple stock forecast in the past 3 months, there are currently 22 buy, 8 hold and 0 sell ratings on the stock. The highest price level for an Apple stock forecast is $240.00 with the lowest price target at $167.00.
The average price target for an Apple stock forecast is $208.10.
An Example Trading Idea for the Apple Stock Price
An example trading idea for the Apple share price could be as follows:
- Buy the stock on a break above $185.00 to allow for volatility.
- Target just below the highest analyst price target of $208.00.
- Keep your risk small at a maximum of 5% of your total account.
- Time Line = 6 – 12 months
- If you buy 15 Apple shares:
- If target is reached = $345.00 potential profit [($208.00 - $185.00) * 15 shares].
Remember that markets go up and down and it is unlikely the share price will move up in a straight line. In fact, it may even go much further down before it rises, especially considering how mixed analysts' views are on the stock.
Be sure to exercise good risk management and always know how much you could potentially lose on a trade and the risks involved, as well as the costs.
With the Admirals Invest.MT5 account you can buy and sell US stocks with a commission from $0.02 per share. This means buying 15 shares in Apple would result in a commission of $0.30 ($0.02 * 15 shares) for executing a per-side transaction.
There is a low minimum transaction fee of $1. So, the example trading idea above would result in a commission of just $1 overall!
How to Buy Apple Stock in 4 Steps
With Admirals, you can buy shares in US stocks with a competitive commission from $0.02 per share and a low minimum commission of just $1.
- Open an investing account with Admirals to access the Dashboard.
- Click Invest on one of your live or demo accounts to open the MetaTrader web terminal.
- Search for Apple stock in the search window at the top right to view the price chart.
- Click Create New Order at the bottom of the screen, enter the number of Apple shares you wish to purchase and click ‘Buy’ to send your order to the market!
Click on the banner below to trade Apple stock today! ▼▼▼
Do You See the Apple Stock Price Moving Differently?
Remember that all analytics and trading ideas are based on the personal view and experience of the author.
If you believe there is a higher chance Apple share price will move lower, then you can also trade short from a CFD (Contracts for Difference) trading account which Admirals also provide.
The Trade.MT5 and Trade.MT4 accounts allow you to speculate on the price direction of stocks and shares using CFDs.
This means you can trade long and short to potentially profit from rising and falling stock prices. Learn more about CFDs in this article: How to Trade CFDs.
INFORMATION ABOUT ANALYTICAL MATERIALS:
The given data provides additional information regarding all analysis, estimates, prognosis, forecasts, market reviews, weekly outlooks or other similar assessments or information (hereinafter “Analysis”) published on the websites of Admirals investment firms operating under the Admirals trademark (hereinafter “Admirals”) Before making any investment decisions please pay close attention to the following:
- This is a marketing communication. The content is published for informative purposes only and is in no way to be construed as investment advice or recommendation. It has not been prepared in accordance with legal requirements designed to promote the independence of investment research, and that it is not subject to any prohibition on dealing ahead of the dissemination of investment research.
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- The Analysis is prepared by an independent analyst Roberto Rivero, Freelance Contributor (hereinafter "Author") based on personal estimations.
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