Is Citigroup (C) About to Turn Bearish?
If you’ve been following Citigroup (C) this year, you’ve probably noticed its impressive 22% gain year-to-date, outperforming the S&P 500. But what if I told you that a downside reversal could be on the horizon?
According to a recent technical analysis review using multiple time frame analysis, there are several red flags signaling a potential shift in momentum for Citigroup. The weekly chart shows a consistent uptrend from an October low to its recent peak at $65. Key indicators like the weekly PPO and moving averages have validated the strength of this rally. However, the recent sell signal on the weekly PPO suggests that the uptrend phase may be coming to an end.
Digging deeper into the daily chart reveals bearish momentum divergence and a struggle to hold the 50-day moving average. Additionally, Citigroup’s relative strength compared to the S&P 500 has been declining in recent weeks.
So, where could Citigroup be headed next? The April low around $57 seems to be a key level of support that could act as a magnet for price action. If Citigroup fails to regain the 50-day moving average, we may see a further breakdown towards this support level.
As investors, it’s important to recognize these technical signals and be prepared for a potential shift in momentum. While strong trends can lead to strong returns, it’s essential to stay agile and adapt to changing market conditions.
Stay tuned for more updates on Citigroup and other investment opportunities on Extreme Investor Network. Our team of experts is here to help you navigate the complexities of the market and make informed decisions for your financial future. Make sure to subscribe for exclusive content and insights that you won’t find anywhere else.
Remember, investing involves risk and it’s crucial to consult with a financial advisor before making any decisions. Stay informed, stay ahead, and stay connected with Extreme Investor Network.