After surging on good volume, FedEx (FDX) hit channel resistance around 57. Notice that FDX peaked in early May and then worked its way lower the last eight weeks. This series of lower lows and lower highs defines the channel, which is also an 8-week downtrend. Look for a breakout to reverse this trend.
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About the author:
Arthur Hill, CMT, is the Chief Technical Strategist at TrendInvestorPro.com. Focusing predominantly on US equities and ETFs, his systematic approach of identifying trend, finding signals within the trend, and setting key price levels has made him an esteemed market technician. Arthur has written articles for numerous financial publications including Barrons and Stocks & Commodities Magazine. In addition to his Chartered Market Technician (CMT) designation, he holds an MBA from the Cass Business School at City University in London.
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