Ford Shares Slide 1.39% To $11.33 As Bearish Technicals Signal Extended Downtrend

Ford Motor (F) shares declined 1.39% to $11.33 in the latest session, extending losses for a second consecutive day with a cumulative 2.16% drop. This price action positions the stock near August's support zone.
Candlestick Theory
Recent price action shows bearish dominance as Ford trades below August's key resistance at $11.60 (established on 2025-08-19 and 2025-08-20). The formation of two consecutive bearish candles with lower highs ($11.43 → $11.40) confirms near-term selling pressure. Critical support lies at $11.19 (August swing low), while decisive closes below $11.00 would signal a breakdown. Resistance is firm near $11.73, coinciding with August's peak.
Moving Average Theory
The 50-day EMA ($10.85) remains below the 100-day EMA ($10.92), sustaining an intermediate bearish structure. Current price ($11.33) hovers above the 200-day EMA ($10.60), maintaining the longer-term uptrend. However, the narrowing spread between the 50-day and 100-day EMAs suggests weakening momentum. A death cross formation would become probable should the 50-day EMA breach the 200-day EMA.
MACD & KDJ Indicators
MACD registers a bearish crossover below its signal line, with the histogram expanding negatively—indicating accelerating downward momentum. KDJ aligns, with the %K line (28) diving below %D (42) into oversold territory. The sustained KDJ reading below 50 reinforces bearish near-term momentum. Divergence is absent as both oscillators confirm the recent price decline.
Bollinger Bands
Bands are contracting (20-day width: 3.5%), reflecting declining volatility after August's $10.68–$11.73 range. Price currently tests the lower band ($11.25), suggesting potential oversold conditions. A close beneath this band may trigger accelerated selling, while a rebound toward the middle band ($11.50) would signal stabilization. Band contraction typically precedes decisive breakouts.
Volume-Price Relationship
Distribution patterns emerge as the two down days (August 20–21) saw higher volume (46.5M and 51.8M shares) versus the August 18 up day (37.1M shares). This divergence signals selling conviction. Sustained volume below 40M shares during rebounds would further validate bearish sentiment, whereas breakout moves require volume exceeding 60M shares.
Relative Strength Index (RSI)
The 14-day RSI (43) neutralizes after dipping near oversold territory, removing immediate reversal signals. Notably, it failed to breach 30 during August’s sell-off, suggesting underlying resilience. While not oversold, caution prevails below the 50 mid-line. Historically, reversals from oversold (RSI<30) have triggered 5%+ rallies.
Fibonacci Retracement
Measuring from July’s low of $9.14 to August’s high of $11.73, key Fibonacci levels present critical thresholds. The 38.2% retracement ($10.81) held during August’s pullback, establishing support. The 50% level ($10.44) aligns with the 200-day EMA ($10.60), forming a strong confluence zone. A breakdown below $10.81 would expose $10.44 as the next significant support.
Confluence & Divergence
Confluence appears at $10.80–$10.90, where the 38.2% Fibonacci level, 200-day EMA, and August swing lows converge—making this a pivotal support cluster. Divergence is limited, though RSI’s failure to reach oversold levels amidst price weakness suggests incomplete downside confirmation. The bearish MACD/KDJ crossover and volume distribution patterns collectively endorse near-term caution. Reversal potential would require reconquering $11.60 resistance with expanding volume.