Bloomberg's 15min chart shows RSI overbought and bearish marubozu.

Wednesday, Aug 13, 2025 9:31 am ET1min read

Upon examining the 15-minute chart of B, it appears that the Relative Strength Index (RSI) has reached an overbought level. Furthermore, a bearish marubozu candlestick pattern emerged on August 12, 2022 at 16:00, indicating that the stock price has surged excessively and surpassed its fundamental value. This suggests that the market is currently under the control of sellers, and the bearish momentum is likely to persist.

Lennar Corporation (LNR) has shown significant bearish indicators on its 15-minute chart as of August 13, 2025, at 14:45. The Relative Strength Index (RSI) has reached an overbought level, and the Bollinger Bands have narrowed, suggesting a decrease in price volatility. These technical indicators, combined with broader market dynamics, signal a cautious approach for investors.

The RSI, a momentum oscillator, has surpassed the overbought threshold, indicating that the stock price has experienced rapid growth, exceeding fundamental support [1]. The narrowing Bollinger Bands, which measure volatility, suggest that price fluctuations have decreased, signaling a potential shift in market sentiment [1]. This narrowing trend is often seen before a significant price correction.

Additionally, Lennar B's 15-minute chart has triggered a bearish KDJ Death Cross and Marubozu patterns, further supporting the bearish trend [2]. The KDJ Death Cross is a reversal pattern that signals a shift in momentum towards a potential decline, while the Marubozu pattern indicates a strong bearish continuation.

Lennar Corporation has been experiencing strong financial performance, with a trailing 12-month revenue of $35.37 billion and a one-year growth rate of 3.7% [1]. However, concerns about profitability and potential manipulations of financial results persist, as evidenced by the low P/E ratio and P/S ratio close to a two-year low, suggesting that Lennar may be undervalued [1].

These bearish indicators align with broader financial market dynamics. Small-cap financial stocks have shown underperformance compared to the overall financial sector. The iShares Russell 2000 ETF (NYSEARCA:IWM) has dipped nearly 2% year to date and advanced about 9% over the past year, lagging behind the Financial Select Sector SPDR Fund ETF (NYSEARCA:XLF) which has climbed about 9% year to date and 26% over the past 12 months [2].

For investors, it is essential to conduct thorough research and consider individual risk tolerance and investment goals before making any investment decisions. The recent bearish signals in Lennar B's 15-minute chart suggest a cautious approach for the near term, as selling pressure is likely to continue.

References:
[1] https://www.ainvest.com/news/lennar-15-min-chart-signals-rsi-overbought-bollinger-bands-narrowing-2508/
[2] https://www.ainvest.com/news/lennar-15min-chart-triggered-kdj-death-cross-bearish-marubozu-formation-2508/

Comments



Add a public comment...
No comments

No comments yet