Shares of tech giant Apple Inc. (NASDAQ: AAPL) have been under pressure, as investors continue to sell off the stock. With shares currently trading around $245, they are down close to 15% from the all-time high set just last month. The drop has been mostly one-directional and not a little surprising, given Apple’s long-standing reputation as one of the market’s most dependable large-cap performers. The broader backdrop has not helped, to be sure, as rising geopolitical tensions have driven a sharp risk-off sentiment across equities over the past week.
What makes the current setup stand out, however, is just how stretched some of the stock’s technical indicators have become. This month has seen Apple’s relative strength index (RSI) sink into extremely oversold territory, and with it currently down around 18, it's at its lowest reading since September 2008. That is an extreme level by any measure, and it immediately raises the question of whether selling pressure has gone too far, too fast, especially with earnings due next week.
