If you’ve been delaying a bite into Apple (NASDAQ:AAPL) shares, the wait is over. Following earnings, Apple stock is looking ripe both off and on the price chart for bullish contrarian investors to go long. Let me explain …

Considering prior macro drags on markets — ranging from global recession and bank liquidity worries, trade war tensions, broad-based market weakness, and the Fed in the cross-hairs of POTUS — the past few weeks have been good to AAPL.

Believe it or not, conditions are still looking up for Apple investors.

Following this week’s mixed earnings report, it’s fair to say a slug of Apple supply chain warnings late last year and market-rattling, weak sales guidance from management in early January appear to have been exaggerated by Wall Street.

Bottom line, Apple’s fourth-quarter earnings supports the case … but Apple isn’t exactly killing it these days. The thing is, that’s not exactly news, unless you’ve been hiding under a rock. Personally, I gave up on my iPhone last year and switched to Samsung. I haven’t looked back since.

Despite the company’s challenges, Apple is still quite healthy. Like them or hate them, Apple stock is a value play based on many financial metrics. Backing up that reality (and in the face of oodles of pessimism and pooh-poohing of AAPL’s results), shares jumped nearly 7% to fresh one-month highs following the “disappointing” report.

Now, the squiggly price line in Apple’s stock chart looks solid:

AAPL Stock Monthly Chart

Since writing about Apple in late December, shares have gone a long way toward reinforcing our optimism. With January’s hammer-style candlestick completed, we have the icing on the cake for AAPL investors waiting for price confirmation before buying.

Following Apple’s 39% correction — and as our provided price chart illustrates — January’s completed hammer reversal pattern has managed to successfully test three key Fibonacci supports, dating as far back as the financial crisis, while also holding a long-standing uptrend line. The technical conclusion is more evidence a meaningful low is in place in Apple shares.

Bottom Line on Apple Stock

Additionally, with the monthly stochastics oversold and set for a bullish crossover — along with a price move above the hammer candlestick high of $169 — AAPL stock looks like a buy.

For investors agreeable with this sort of purchase, I would still suggest using a stop-loss slightly beneath $155. A stop-loss at $155 works out to an acceptable amount of exposure just north of 8%.

Technically, this looks like a good spot on the weekly chart to accept defeat gracefully, while preparing for stronger opportunities much deeper within zone support.

Investment accounts under Christopher Tyler’s management do not currently own positions in any securities mentioned in this article. The information offered is based upon Christopher Tyler’s observations and strictly intended for educational purposes only; the use of which is the responsibility of the individual. For additional options-based strategies, related musings or to ask a question, you can find and follow Chris on Twitter @Options_CAT and StockTwits.