Fedex Corp. - (FDX) - September 22, 2021
FedEx (FDX) shares are trading down 5.9% this morning after the company reported disappointing earnings, but its relative strength has been deteriorating since July. Since exiting the green zone, the shares have been steadily falling down the rankings in the SIA S&P 500 Index Report and have lost about 10.4% of their value. In the last month, the shares have dropped 12 spots to 62nd place and have slumped into the Red Unfavored Zone.
Back in June, an upward trend in FedEx (FDX) shares came to an end when the shares completed a bearish Rising Wedge pattern, fell back under $300 and broke below its 50-day average. In the late spring, the shares struggled with $300 reversing polarity to become resistance, and then through the summer, the shares come under distribution, steadily declining in a falling channel of lower highs and lower lows. Recently, selling pressure has increased with the shares continuing their descent on increasing volumes.
Initial downside support appears at the February low near $233, then the $200 round number. Initial resistance appears near the $275 round number.
Since peaking back in June, FedEx (FDX) shares have been consistently sliding, giving back more than 50% of their previous X column to trigger a bearish High Pole Warnings.
Initial downside support appears at the February low near $231.10, where a successful retest would establish a sideways range. A breakdown there, however, would complete a bearish double bottom pattern and signal the start of a new downtrend with next potential downside support near $217.80 where a horizontal count converges with previous column highs and lows. Initial rebound resistance appears between the $275.00 round number and $276.20 based on a 3-box reversal.
With a bearish SMAX score of 4, FDX is exhibiting weakness against the asset classes.
Disclaimer: SIACharts Inc. specifically represents that it does not give investment advice or advocate the purchase or sale of any security or investment whatsoever. This information has been prepared without regard to any particular investors investment objectives, financial situation, and needs. None of the information contained in this document constitutes an offer to sell or the solicitation of an offer to buy any security or other investment or an offer to provide investment services of any kind. As such, advisors and their clients should not act on any recommendation (express or implied) or information in this report without obtaining specific advice in relation to their accounts and should not rely on information herein as the primary basis for their investment decisions. Information contained herein is based on data obtained from recognized statistical services, issuer reports or communications, or other sources, believed to be reliable. SIACharts Inc. nor its third party content providers make any representations or warranties or take any responsibility as to the accuracy or completeness of any recommendation or information contained herein and shall not be liable for any errors, inaccuracies or delays in content, or for any actions taken in reliance thereon. Any statements nonfactual in nature constitute only current opinions, which are subject to change without notice.