×

We're 'losing' Apple: Technician

America's most-loved stock is in a correction, and according to one widely followed technician, that could spell trouble for the Nasdaq composite index.

Carter Worth told CNBC's "Fast Money" that the swift decline in Apple shares could be the straw that helps break the back of the tech-heavy Nasdaq composite. As the head of technical analysis at Cornerstone Macro points out, the number of stocks in the Nasdaq that are rising versus the number that are falling has been in decline for the past 18 months, indicating a lack of breadth.

While the Nasdaq is up 8 percent this year, Worth notes that the average stock within the index is only up 3 percent and the median stocks is actually down on the year.

"When the leaders go, so does the index," said Worth. "This won't be able to hold up much longer," he said, referring to the Nasdaq's rally.

Apple shares are up 4 percent this year and its market cap accounts for 13 percent of the Nasdaq 100. But the company's stock has fallen 10 percent from recent highs, the official definition of a correction, and by Worth's chart work, things are about to get even worse.

"Apple has just broken trend," said Worth. "And we broke below a range that has existed for the past six months."

Worth sees support around $108 per share, which would put Apple in full bear market territory. It Tuesday morning, it was trading at $114.27, down 3.5 percent.

"We're losing Apple," he said.