Equity Residential Slides 3.19% to $64.01 Amid Heavy Selling Pressure

Equity Residential (EQR) fell 3.19% to close at $64.01 during its latest session on September 2, 2025, accompanied by elevated trading volume of approximately 1.8 million shares. This substantial decline from the previous close of $66.12 suggests strong selling pressure, forming a bearish candlestick characterized by a long real body (open near $66.20, close near $64.01) and a high rejection at $65.70. The price action breached the immediate psychological support at $65.00 and tested the August swing low of $63.19-$63.65, establishing this zone as critical near-term support. Resistance now firms near $65.70-$66.20, aligning with the previous session’s low and 20-day dynamic barriers.
Moving Average Theory
The moving average configuration indicates entrenched bearish momentum. Current price ($64.01) trades below all key moving averages, with the short-term 50-day MA (approximately $66.80) positioned beneath the intermediate 100-day MA (around $67.60) and the long-term 200-day MA (near $69.50). This structure reflects a sustained downtrend, with the 50-day/200-day death cross persisting since July 2025. The descending MA alignment suggests persistent selling pressure, and any recovery rallies may face formidable resistance near the 50-day MA.
MACD & KDJ Indicators
The MACD remains in bearish territory, with the MACD line (-1.4) below both the signal line and zero, signaling sustained downward momentum. Though no clear divergence exists, the indicator’s trajectory implies no immediate reversal. The KDJ oscillator shows K-line (20) and D-line (28) in oversold territory, with the J-line (5) near extreme lows. This alignment suggests potential for a technical bounce, but recovery signals would require K-line crossing above D-line. Absent such crossover, oversold conditions may persist as the dominant downtrend exerts influence.
Bollinger Bands
Bollinger Bands show heightened volatility, with price piercing the lower band ($65.00) decisively during the latest session. This violation often signals an oversold extreme, but the failure to reclaim the band interior by the close weakens reversal prospects. Band expansion from a late-August contraction phase confirms bearish momentum acceleration. A sustained position below the lower band may precede further downside unless the price stabilizes above $64.50 to initiate mean reversion.
Volume-Price Relationship
Volume analysis reinforces bearish conviction. The 3.19% decline occurred on 1.8 million shares—significantly above the 50-day average volume—indicating conviction behind the selloff. Distribution patterns emerged during the late-July downtrend, with capitulation-like volume spikes near $63.20 (August 13-18) followed by weak rebound volume. Current volume expansion on breakdowns versus tepid recovery volume validates unsustainable rallies and solidifies the downtrend’s credibility.
Relative Strength Index (RSI)
The 14-day RSI reading of 40 resides near neutral territory but displays a bearish trajectory. Though not yet oversold (<30), the indicator has retreated from an August 21 overbought peak (74), aligning with the renewed downturn. Divergence is absent, as RSI corroborates lower price lows. This configuration suggests room for additional downside before reaching oversold exhaustion, but oversold rebound risks could materialize below RSI 35.
Fibonacci Retracement
Applying Fibonacci retracement to the primary downtrend from the June 23 peak ($69.06) to the August 13 trough ($62.65) reveals critical levels. The recent rally stalled at the 50% retracement ($65.85) before reversing, confirming this as dynamic resistance. Current price ($64.01) tests the 23.6% retracement support ($63.85). A decisive break below may target the $62.65 swing low, while holding above $63.85 could catalyze a technical rebound toward the 38.2% level ($65.10), though trend resistance near moving averages should cap significant recovery.
Confluence exists in the $63.19-$63.85 zone, combining horizontal support, the lower Bollinger Band, and the 23.6% Fibonacci level. A confirmed breakdown here would open downside toward the $62.65 cycle low. Divergence is minimal, with momentum oscillators (MACD, RSI), volume, and moving averages collectively affirming bearish control. Probabilistically, the burden of proof remains on bulls to reclaim $65.70 to signal any sustainable reversal attempt.