Last night I noted some topping candles in Macy’s, M, often a signal of a reversal. Those candles turned out to be prescient not only for Macy’s but for the department stores in general. The chart for Macy’s shows that the stock is in an uptrend, and has found support at the 20 day Simple Moving Average (SMA) nearby. There is also support from the previous high there at 42.70. The Relative Strength Index (RSI) is bullish but falling.
Macy’s, M
The Moving Average Convergence Divergence indicator (MACD) is pulling back from an extreme level on the signal line. These do indicate a pullback could continue, but until it falls below 41 it appears to be corrective and not a trend change. A second stock Saks, SKS, exhibited the same characteristics but looks to be in worse shape. The Shooting Star from Friday was confirmed lower Monday, with a dramatic red candle, ending over support of the rising channel.
Saks, SKS
Volume was heavy both days, and the RSI is now making a new low with the MACD turning lower. A break of the 100 and 200 day SMA at 11.00 and 10.87 respectively, would signal a trend change lower. Nordstrom, JWN, is a third stock that fits this pattern.
Nordstrom, JWN
The long upper shadow Thursday followed by a Spinning Top Friday, confirmed lower Monday. The confluence of the SMA between 54.08-54.46 sits just below, and it would take a move under those to turn bearish.
The information in this blog post represents my own opinions and does not contain a recommendation for any particular security or investment. I or my affiliates may hold positions or other interests in securities mentioned in the Blog, please see my Disclaimer page for my full disclaimer.
Original post
- English (UK)
- English (India)
- English (Canada)
- English (Australia)
- English (South Africa)
- English (Philippines)
- English (Nigeria)
- Deutsch
- Español (España)
- Español (México)
- Français
- Italiano
- Nederlands
- Português (Portugal)
- Polski
- Português (Brasil)
- Русский
- Türkçe
- العربية
- Ελληνικά
- Svenska
- Suomi
- עברית
- 日本語
- 한국어
- 简体中文
- 繁體中文
- Bahasa Indonesia
- Bahasa Melayu
- ไทย
- Tiếng Việt
- हिंदी
Department Store Stocks Are Cracked And Vulnerable
Published 04/15/2013, 01:17 AM
Updated 05/14/2017, 06:45 AM
Department Store Stocks Are Cracked And Vulnerable
Latest comments
Loading next article…
Install Our App
Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.