Apple's $210 Support Holds; Put/Call Ratio Rises to 1.3

Apple (AAPL) shares fell 2.3% on Tuesday, touching $210.50 before a late-session bounce. The decline accompanied a broader tech selloff, with the Nasdaq 100 dropping 1.8%.

Traders said the move reflected profit-taking ahead of next week's Federal Reserve meeting and a lack of fresh catalysts for the iPhone maker. Other megacap tech names also slipped. The NYSE FANG+ Index dropped 1.9%.

The $210 level has acted as support since early March. It held twice during Tuesday's session, with volume picking up near the close. Some traders said a break below that zone would open a path to the 200-day moving average near $203, a level not tested since November. That level has historically acted as strong support, they said. On the upside, resistance sits at $218, the high from last Thursday's rally.

Options activity showed elevated put volume relative to calls. The put/call ratio rose to 1.3 from 0.9 a week ago. One options strategist at a New York-based firm said the skew reflects uncertainty around the Fed's rate path, not a bearish call on Apple specifically. Implied volatility on Apple options also rose, with near-term options pricing in a 2.4% expected move over the next week, the strategist said. The Cboe Volatility Index climbed 5% to 18.5. More than 60 million Apple shares changed hands, above the 30-day average of 55 million.

Fundamental support for the stock remains intact. Apple's services revenue grew 14% in the last quarter, contributing a larger share of total sales. The company is expected to launch new iPad models in May. Near-term sentiment is tied to macro data.

The bounce from $210 on above-average volume suggested the level is still defended, traders said. The next catalyst is Friday's personal consumption expenditures report. Traders said a hot print would reinforce the case for rates staying higher and a soft number would revive bets on a September cut, giving tech a lift. The Fed meeting on May 3 is the next scheduled event.