Ford's Rent is Due

12 thg 1, 2022

The RSI is showing a clear bearish divergence on the RSI. As we see on the daily, there are three lower highs on the RSI combined with higher highs in price action. This is bearish. We also see overextensions on the weekly and monthly RSI. Moving averages have not been catching up which suggests there will at least be a correction to them and they will be tested as support levels. Volume indicates that Ford is going to tank though because there is a high amount of selling pressure at these levels. Even though Ford is green, earnings are around the corner and my guess is that even if there is a beat there will nonetheless be a tank. Any good news has been priced in. Bad news would tank the stock even more. In short, RSI suggests a major downtrend beginning shortly. Volume spikes support this idea. Moving averages also suggest a correction is coming. Ford has failed to overcome a 24.95 price level as well on the shorter timeframes. Let's also remember how overextended the broader market is and how tethered it has become to the indexes doing well. All of the indexes have been recovering a little bit but that does not mean Ford will do well. DYODD. This is only my idea not financial advice.

Also: this is pretty much just TA. I did not look at Ford's financials but I imagine they're not doing great because most car companies are not very good financially. Demand for cars is probably not going to be good. There's too much hype in the auto space and the cost to transition to EVs will be immense. Tesla did not just switch the lights on and neither will Ford.

I anticipate a bounce at a large consolidation level. That is the horizontal line.

19 thg 1, 2022

Ghi chú

Now it's falling out of a rising wedge. Remember - gap ups are for selling. Interest rate hikes are gonna hammer the entire market. And Ford has a few hundred billion in long term and short term debt that will be awful for the share price. A couple of clowns in the comments thinking the price will go up does not change the fundamentals: Ford has none.

19 thg 1, 2022

Ghi chú

If you add a fib retracement from the previous highs in April '99 then Ford today just began rejecting the 0.618 rebound. I imagine it will rebound off of the daily 30 day MA and fully reject the 0.618 level at 23.61ish. The lemons are tasting so sweet today as the newest market crash or bear turn fully entrenches.

30 thg 1, 2022

Ghi chú

Possible short term reversal or bull trap just occurred. Daily has a possible double bottom and green hammer. Weekly is indecisive. On the monthly though. Bullish engulfing. I imagine there will be a strong early Feb which might be good for short term calls (If Mon Jan 31 gaps down I'd buy some calls into earnings.) Could see a random rally through earnings and a double top form. I HIGHLY doubt there will be a breakout of the recent high considering the monthly bearish engulfing which rejected a key long term resistance line at 23.50.

8 thg 2, 2022

Ghi chú

GM got downgraded and the stock is tanking a bit. I could see some stabilization in the 17 range and a rally to 19. When the suits start saying "Dump X" then usually buying it is a better idea.