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Lockheed Martin Corp - (LMT) - September 25, 2023

Defense contractor Lockheed Martin (LMT) has been steadily dropping down the rankings in the SIA S&P 100 Index Report since March. Back in July it fell into the Red Unfavored Zone and from then, it has lost 12.0% of its value. LMT finished Friday in 75th place, down 7 spots in the last month.

There are currently no Aerospace & Defense companies in the Green Favored Zone but the top 10 ranked Industrials include General Electric* (GE), and Caterpillar* (CAT). A major breakout is underway in Lockheed Martin (LMT) shares. A long-term uptrend ran out of gas in the spring when they failed to hold above the $500.00 round number. Shortly after, the shares completed a bearish Rising Wedge pattern and fell under distribution with the shares peaking at a lower high and the 50 and 200-day moving averages completing a bearish Death Cross.

This month, the shares have not only broken down again, completing a bearish Descending Triangle, they also have retested the $435.00 breakdown point as new resistance, confirming the start of a new downtrend. A measured move from the triangle suggests potential downside support near $370.00, with initial support possible near the $400.00 round number. *Shares of General Electric and Caterpillar (CAT) are currently held in portfolios managed by SIA Wealth Management.





Back in April, Lockheed Martin (LMT) peaked in a bearish Bull Trap where it broke out by only one row, then rolled over. In August, a bounce peaked at a lower high, and this month, the shares have confirmed the start of a new downtrend with a bearish Triple Bottom breakdown.

Initial downside support may appear near $373.20 near their October 2022 low, then $358.75 based on previous column highs, and $324.90 based on a horizontal count. Initial resistance on a rebound appears near $454.95 based on a 3-box reversal.

With a bearish SMAX score of 1, LMT is exhibiting weakness against the asset classes.

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