 Welcome traders to another TickMill earnings season preview with me, Patrick Mamami. Before we jump into today's report, as always, want to adhere to the risk disclaimer, most pertinent to today's presentation is the fact that views and opinions expressed by me are solely mine, they're not addictive or representative of those held by TickMill UK or TickMill Europe Limited. Okay, let's jump into today's report. We are looking at Apple. Apple are set to announce earnings after the close of trade in New York today. We are looking for an EPS of 1.429 on a revenue estimate of $92.906 billion. I would say there is a whisper number on the street that the EPS could come in as high as $1.47, so keep that in mind as we head into report. Chairs of Apple, which have risen about 15% year today, more than twice the S&P 500 have been one of the best performing names in tech since the new year began. The tech giant has benefited from other things, the reopening of China, its second largest market. However, when it comes to the U.S. market, there's still concern regarding the strength of the consumer amid a rising inflation and a possible recession. This continues to raise the question of whether the company, which is highly reliant on iPhone sales, can ever return to its glory days of high growth and if not, will the services segment grow fast enough to make up the difference? These questions will be more clear when the company reports this evening. Although Apple ended 2022 as the world's most valuable company, it suffered a massive market cap decline of roughly $755 billion, ending the year with a market valuation of $2.07 trillion after reaching $3 trillion at the start of 2022. Supply chain disruptions and rising inflation have been among the many events that have breached the company's revenue and profits, causing the company to miss iPhone sales estimates in Q4. Operating headwinds have also been compounded by uncertainty related to global growth slowdown, prompting the company to remove Q1 2023 guidance. Still, it's hard to ignore the attractive valuation of Apple heading into 2023. While iPhone sales generate a sizable portion of the revenues, Apple's collective high margin services segment in 2022 generated gross margin of 72% compared to 36% for hardware and devices. The company is poised to see stronger revenue growth and margin expansion thanks to price increases on Apple Music, TV Plus and its one bundle. With a consensus price target of $176, which suggests 30% upside from current levels, the risk versus reward for the stock is attractive. Let's take a look at some of the statistical trading patterns that we see around Apple earnings. Apple shares have moved lower in the immediate aftermath of earnings, seven out of the 12 previous reports. On average, stock moved up 1.1% in the first day of trading after releasing earnings. Based on the previous 12 earnings releases, Apple is more likely to trade lower one day after earnings for an average loss of 0.1%. On average, though, stock has moved higher 1.1% one week after earnings. In terms of the analyst community, of the 41 analysts, giving the stock rate a rating over the past three months, 26 having it as a strong buy, 6 as a buy, 7 as a whole, and 92 as a strong sell. In terms of those price forecasts over the next 12 months, on the top side, 205, average 172, and on the downside, 116. From a order flow and sentiment perspective, the options market is pricing in an implied move of 4.4% on the earnings versus an average actual move of 4% in recent quarters. The options market overestimated Apple stock earning 67% of the time over the last 12 quarters. There has been notable buying 34,586 contracts of the $175 core, so sitting just below that 176 price target and options order flow sentiment in general is bullish. Investor expectations has 57% of investors expecting earnings beats. Okay, with all that said, let's pull up the chart and see where we are from a technical perspective and where they might be able to identify any near-term trading opportunities. So we are notably sitting right at the weekly trend line here for Apple from those all-time highs, the test of that trend line. We're struggling to make advances above that 171 level. However, we do know we've got that 175 call in play and there's decent interest there. We do have a technical upside objective versus the current swing structure. So against the swing lows at 144, we have a 177.25 target. So here's my play coming into the earnings. I note in the pre-market, yesterday we closed at 167, we're trading down to 165 and we are testing towards that trend channel support. If we can hold this trend channel support in the high volume out here at 164, I want to be long back through 171 and my target is going to be that 177, which is monthly projected range resistance and that upside equality objective. Now, if for whatever reason earnings come in on the surprise to the downside, then any break of this 164 handle will be a bearish development. And I'd be looking initially for a test of the 160 monthly projected range resistance, but I anticipate we would break there and actually test down into this prior resistance zone before the breakout that then acted as support here is that 156. And if we take out the 156 as support, we look for a test of the 150 to the downside. However, for now, as long as we can maintain this trend channel support and the 164 high volume load, we're looking for a test of 177. As always, traders plan the trade, trade the plan, and most importantly, manage your risk. Until next time, thanks very much.