Deere in Headlights
Updated
On the monthly, weekly, and daily, DE does not look good. It may seem like a Bull pennant but I believe this is a long distribution. The newest weekly close is a rejection of the top trendline. I expect it to retest the bottom of the trendline and, if the overall market is doing poorly, then DE will fail to bottom out and fall off a cliff. Price action is the biggest determinant here. The RSI, MACD, and moving averages do not suggest a bullish breakout but are more lukewarm in their current status. The newest weekly candle closing bearish is, for me, a signal that DE will now fall.
Note
Forgot to mention: an evening star candle has just closed on the weekly. That is another bearish reversal indicator.Note
Newest weekly close suggests the evening star has been completed but it is not a full evening star. John Deere is also facing lawsuits from farmers across the USA.Check out this video for an incredibly bearish catalyst for Deere:
"An honest conversation about John Deere with Willie Cade" by Louis Rossman on YouTube.
Long Term Bearish on Deere.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.