On Friday shares of VZ sank to a brand new 52-week low on the heels of lacking analyst estimates of Q3 subscribers.
Let’s examine the charts and indicators.
On this day by day bar chart of VZ, beneath, we are able to see a draw back worth hole on Friday. A brand new 52-week low was reached. Costs are nicely beneath the declining 50-day shifting common line and beneath the weak 200-day line.
The On-Steadiness-Quantity (OBV) has made new lows for the transfer down as nicely and confirms the commentary that sellers of VZ have been extra aggressive than consumers. The Shifting Common Convergence Divergence (MACD) oscillator is bearish.
On this weekly Japanese candlestick chart of VZ, beneath, we now have a damaging image. Costs have made a “parabolic” decline the previous few months. VZ is beneath the bearish 40-week shifting common line. The weekly buying and selling quantity has not given us a clue that weak arms have offered and robust arms have purchased.
The weekly OBV line is bearish and the MACD oscillator is bearish.
On this day by day Level and Determine chart of VZ, beneath, we are able to see that costs have reached and exceeded a draw back worth goal within the $36 space.
On this weekly Level and Determine chart of VZ, beneath, we used a 5 field reversal filter. Right here the software program suggests a worth goal within the $31 space.
Backside line technique: In full disclosure I’ve been a VZ buyer for over 25 years however that loyalty doesn’t make the charts extra enticing. VZ might fall additional within the weeks forward.