Is Apple stock falling back to $100?

The Apple stock (NASDAQ: AAPL) plunged -1.16% after the company announced that will install the device needed at some Starbucks coffee stores, KFC, and Chill’s restaurants to boost mobile-payment service. The service will be in a pilot form and these stores will accept that kind of payment by the end of 2016. The announcement may drop the stock in the short-term, based on the fact that previous efforts of other companies like Google Inc., and eBay Inc. to promote the mobile payment service failed, but in the long-term this may be proved out the start of a new technology leisure in our life, and profitable for Apple Inc., that will promote indirectly the apple watch as well! It’s notable that apple watch is a new-launched device the recorded below forecast sales, unprecedented for the Apple.

Apple stock fell for a second consecutive day, however, the losses were limited. Looking at the weekly performance the stock is set to deliver a second consecutive negative week, following a 3.77% losses the previous week. Moreover, the stock started the month in negating footing as it has been traded negative -0.73% so far this month, following a -2.18% for September, -7.04% for August, -3.28 for July and -3.73% for June; more than 15% losses the last 4 months.

On our August’s Apple report “Is Apple Facing a Double Bite?” we have locked profit on our trading suggestion which forecasted the stock to fall below $100.00. “Such a move could easily spark a more aggressive run towards the ultimate price target and historical level at $100.00.”

Following the mid-August move, where the share moved below the psychological level of $100.00, but didn’t achieve a daily close below that level, it will now be the next highlight for the stock, whether can hold above this level and for how long, following the pressure of the its last Earnings report. The report of the Q3 had missed the estimated revenues and revealed the then new device the company launched, the apple watch, was unable to reach the break-even point, even though its possibilities were “enormous” according to the CEO Tim Cook.

I would expect the stock price to remain under pressure and test the psychological level $105.00 in the short-term. From there, I would expect a pullback and then, is more likely to rise up to $113.20. If the bulls fail to sustain the move above the level of $110.00, I would expect the stock to test the psychological level of $100.00.