Shares of Apple are down 17% since hitting an all-time high on Jan. 4, and one market technician believes there's more downside ahead. Carter Braxton Worth, founder of Worth Charting, believes the tech giant is heading to $138. "This is perhaps the most widely-held stock on the planet, and it is really only as of now garden variety in terms of the sell-off," he said Monday on CNBC's " Fast Money ." In other words, the magnitude of the drop is just now aligning with prior periods of weakness. Worth noted that between the financial crisis low in 2009 and now there have been 10 declines of more than 15%. The average decline is 30.7%, while the median decline has been 29.4%. Looking forward, here's how Worth arrives at his $138 call: This chart shows a "well-defined uptrend" that connects the Covid low with the sell-off in September, the sell-off at the beginning of the year, and then the current decline. "We broke trend almost a week and a half ago," Worth said. He said this second chart shows that the stock is into support — or a level at which a downtrend can be expected to reverse — which is represented by the horizonal line. The stock is now more than 17% below its Jan. 4 high-water mark of $182.94. A longer-term chart illustrates the stock's jump higher in September 2020. Worth said at that point the stock was trading 65% above its 150-day moving average. During the dot-com peak, that number stood at about 80%. "That was one of the most extended moves on record," Worth said of the September 2020 spike. "I think we'll retrace to that level, and that level's $138," he added. Should Apple fall to $138, that would represent a nearly 25% decline from the stock's high. Carter noted that while the stock is trading into support levels, these are not "plywood board or a concrete floor." "It's a mattress top and you sink into support. At some point it will find it, but I don't think it's here," he said.
The Apple logo is seen on a window of the company's store in Bangkok on February 14, 2021.
Mladen Antonov | AFP | Getty Images
Shares of Apple are down 17% since hitting an all-time high on Jan. 4, and one market technician believes there's more downside ahead.