Mad Money

Cramer: Is Apple stock returning to greatness?

Does Apple's rally have legs?
VIDEO9:4309:43
Does Apple's rally have legs?

(Click for video linked to a searchable transcript of this Mad Money segment)

With shares of Apple substantially higher over the last 6 months or so, has Apple finally resumed its march higher?

That question has been confounding Cramer as well as countless other pros, who see fundamental catalysts such as the new iPhone driving a further advance. However, Apple is only up 6% for the year and there's no shortage of skepticism in this stock.

Can the Apple comeback continue?

At inflection points such as these pros often turn to technical analysis to glean insights from chart patterns. Since Apple is still among the most influential companies in the market Cramer solicited not one but three opinions. They follow:

Apple introduces the new iPad Air at an event in Cupertino, California.
Source: Apple Inc.

1. Analysis provided by Bob Lang, the founder and senior strategist at ExplosiveOptions.net, suggests that it's smooth sailing into the end of the year.

First, he points to the moving average convergence divergence indicator. With Apple, the MACD has been in positive territory since the stock broke out in September, Lang says, and it just made a bullish crossover.

Also, Lang notes the relative strength index is in very positive territory—this is a momentum indicator, and it suggests to Lang that Apple could be resuming its place as a market leader.

Lang also cites other positive patterns including a W-formation in the weekly chart; that's considered a bullish bottoming pattern as well as an advance on strong volume.

All told, Lang believes Apple has the momentum it needs to keep roaring higher.

2. Analysis from Tim Collins, a Cramer colleague at RealMoney.com, seems to confirm Lang's outlook.

Looking at a monthly chart, Collins believes that Apple could be forming a so-called cup and handle formation. Technicians consider the cup and handle one of the most reliably bullish patterns in the field.

Collins says that if Apple can form the handle between $550 and $600, then any breakout over $600 could signal an epic long-term move, one that could take Apple to $900 in 2015.

Not all the analysis is constructive, however.

--------------------------------------------------------
Read More from Mad Money with Jim Cramer
Cramer: Goldman wrong about this
Does market stink to high heaven?
Down almost 30% ytd, love this laggard?
--------------------------------------------------------

3. Carolyn Boroden of FibonacciQueen.com thinks what the stock does around $575 will be very telling.

That's because $575 is a key Fibonacci level representing the 61.8% retracement of the swing from the September 2012 high to the April 2013 low.

Because Apple already tested that $575 level last Thursday, and quickly pulled back 15 points, the next pass may be a make or break moment for shareholders.

That is, if Apple breaks above $575 on its next run higher, the pattern would be considered bullish. However, if it fails, Apple would make a double top at $575, and that would be bearish. Should that happen, a correction may not be far behind.

Where does Cramer come out?

"I am a bull on Apple. My charitable trust owns it, and while I can't time the next leg of the rally, I think the new products and the Chinese sales efforts are going to give Apple a very happy holiday season, not to mention a very strong 2014, which makes me think this stock is just too cheap not to own."

Call Cramer: 1-800-743-CNBC

Questions for Cramer? madmoney@cnbc.com

Questions, comments, suggestions for the "Mad Money" website? madcap@cnbc.com