Apple shares are still in free fall.
The stock has tanked 7 percent in December, tracking for its fourth straight month in the red, and has slashed nearly one-third of its value since October highs.
It’s almost found its bottom, according to Craig Johnson, chief market technician at Piper Jaffray.
“When I look at the chart of Apple, I can see that we’re coming down to some pretty good footing I think here in the shares,” Johnson said Friday on CNBC’s “Trading Nation. ” “Somewhere in this kind of $160 to $150 range, I think the stock is going to find its footing.”
The bottom end of that range would mark a nearly 10 percent decline from Friday’s close. Apple has not traded at $150 since September 2017.
“I would also just note that you’re starting to see some bullish divergences when you start looking at MACD [moving average convergence divergence] and RSI [relative strength index],” said Johnson. “Technically, we’re going to find our footing here shortly.”
Its relative strength index, a momentum indicator, has fallen to oversold levels at 32. Any reading close to or below 30 typically suggests a stock is getting into oversold conditions.
Chantico Global CEO Gina Sanchez is bullish on Apple, too.
“The fundamental story is actually still intact,” Sanchez said Friday on “Trading Nation.” “Apple was never one of the higher-priced high flyers and so theoretically some of this is just sentiment working against them. I don’t think that they’re highly valued.”
Apple shares trade at a relatively cheap multiple of 12 times forward earnings. By comparison, the high-momentum, high-premium FANG stocks (Facebook, Amazon, Netflix and Google parent Alphabet) trade at multiples of more than 19 times earnings. Amazon, the most expensive, has a 66 times multiple.