Verizon Extends Losing Streak to 8 Days With 5.16% Drop as Bearish Signals Persist

Verizon (VZ) has exhibited a pronounced bearish trend, declining 0.27% in the latest session to close at $40.84, marking its eighth consecutive daily loss with a cumulative 5.16% drop over this period. This persistent downward momentum frames the technical context across all methodologies.
Candlestick Theory
Verizon's price action reveals a sustained downtrend, characterized by eight consecutive bearish candles—the longest losing streak in the dataset. The recent sessions show consistently lower highs and lows, with the July 18 close ($40.84) establishing a critical support level at $40.69 (intraday low). Resistance now forms near $41.35–$41.45, aligning with the prior three days’ highs. A long lower wick on July 18 ($40.69 low vs. $40.84 close) suggests tentative buying interest at support, though no reversal patterns (e.g., hammer or engulfing) have emerged to confirm a bottom.
Moving Average Theory
Verizon trades below all key moving averages, indicating entrenched bearish sentiment. The 50-day MA (~$42.50) slopes downward and remains above the 100-day MA (~$43.10), while the 200-day MA (~$43.00) is flattening but still above shorter MAs. With the current price ($40.84) 4% below the 50-day MA and 5% below the 200-day MA, the "death cross" (50-day under 200-day) completed earlier this year remains active. This alignment suggests persistent selling pressure, though extreme deviations may foreshadow a technical rebound.
MACD & KDJ Indicators
The MACD (12,26,9) highlights accelerating bearish momentum, with the MACD line at -0.65 diverging further below the signal line (-0.40) and the histogram deepening. Concurrently, the KDJ oscillator (9,3,3) signals extreme oversold conditions, with %K (5.89) and %D (12.20) near annual lows. While this KDJ reading typically precedes reversals, it coincides with MACD deterioration—a divergence implying sustained weakness. Only a bullish MACD crossover (MACD line rising above signal) would support a reversal thesis.
Bollinger Bands
Bollinger Bands (20-day, 2σ) show heightened volatility, with bands expanding during the 8-day decline—now spanning $39.50 (lower) to $44.50 (upper). The price hugs the lower band, typically a continuation signal in strong downtrends. A decisive close above $41.50 (mid-band) could signal stabilization, though band expansion suggests further volatility. The July 18 low ($40.69) aligns with the lower band, reinforcing $40.69 as critical support.
Volume-Price Relationship
Volume dynamics validate the bearish trend, with higher-than-average volume accompanying down days (e.g., July 11: 20.2M shares vs. 15.6M average). The July 18 decline occurred on 21.1M shares (monthly high), confirming strong selling conviction. Conversely, recent rallies lacked volume support (e.g., July 8 advance on 16.7M shares). This divergence underscores weak demand, though capitulatory volume on July 18 may hint at exhaustion.
Relative Strength Index
The 14-day RSI at 25.3 resides deeply in oversold territory (<30), nearing levels last seen in March 2025 when Verizon rebounded 8% over subsequent weeks. However, RSI divergence is absent—it remains aligned with new price lows. Historically, such extreme readings warn of short-term bounces but do not guarantee reversals without catalyst confirmation. Probabilistic support exists for relief rallies, though aggressive trend-following may persist.
Fibonacci Retracement
Applying Fibonacci levels to the April 4 peak ($45.80) and July 18 trough ($40.69) shows retracements at $41.90 (23.6%), $42.64 (38.2%), and $43.25 (50.0%). Current trading below the 23.6% level ($41.90) reflects entrenched bearishness. This level now serves as immediate resistance, with clearance above $42.64 required to suggest trend reversal. The confluence of $40.69 (price low) and $41.90 (23.6%) creates a high-probability decision zone.
Confluence and Divergence Notes
Confluence is evident: Oversold signals (RSI <30, KDJ <10) and volume exhaustion align with the $40.69 support level, implying a potential technical bounce. However, MACD deterioration, moving average resistance, and Bollinger Band positioning underscore structural weakness. Primary divergence lies in momentum (KDJ suggesting reversal while MACD confirms downtrend). Should Verizon hold $40.69 on a closing basis, the probabilistic bias favors consolidation or a minor rebound toward $41.90, sustained weakness below $40.69.