Apple Inc. (AAPL) will announce earnings after the close. Investors are closely monitoring the results amid ongoing U.S.-China trade tensions, potential tariff impacts, and shifting consumer demand.

Expectations are for:

• Revenues of $94.54 billion versus $90.75 billion in the same quarter last year. That represents an increase of 4.17%.
• EPS are expected at $1.62 up from $1.53 a year ago or 5.80%

Key Factors to Watch

• Tariff Impacts: Analysts anticipate that concerns over potential tariffs may have led to a pull-forward in demand, particularly for iPhones and Macs. However, the longer-term effects of trade tensions remain a concern.

• Services Growth: Apple's Services segment, including the App Store and iCloud, is expected to continue its growth trajectory, contributing significantly to the company's revenue

• China Market Performance: Given Apple's substantial manufacturing and sales presence in China, investors are keenly interested in how the company navigates the challenges posed by the U.S.-China trade dynamics

• Product Updates: Any announcements regarding new products or updates, especially those integrating AI capabilities, could influence investor sentiment and future earnings projections.

Apple shares plunged close to 35% from it's December 2024 high of $260.10 to the low reached on April 8 at $164.08. Since then the price has rebounded 25% to the current price of $212.69. Today's shares are up $0.24 or 0.11%. The high price today reached a corrective high off of the April low of $214.27.

Technically, the 50% midpoint of the move down from the December high comes in at $214.66 – just short of the high price today. The 50 day moving average is also in play at $216.39.

Getting above both those levels is needed to increase the bullish bias. On the downside, the broken 38.2% retracement of the move down from the December high comes in at $203.93. Move below that level would give the sellers some comfort.