Prologis Slides 1.08% As Technicals Signal Persistent Bearish Pressure

Prologis (PLD) declined 1.08% in the most recent session, closing at $105.44 after trading between $105.42 and $106.61. This movement occurs within a broader technical context revealed by comprehensive analysis of the one-year dataset.
Candlestick Theory
Recent price action shows consecutive bearish candles with August 18th’s session closing near its low after failing to sustain gains above $106.60. This reinforces $106.60-107.00 as immediate resistance, aligning with the August 15th high. Support emerges near $104.00, tested repeatedly in early August. A breakdown below this level may signal further bearish momentum, while recovery above $107.00 could indicate reversal potential.
Moving Average Theory
The 50-day, 100-day, and 200-day moving averages exhibit a bearish alignment with the 50-day below the 100-day and 200-day, confirming a sustained downtrend. Recent prices consistently trade below all three averages, with the 50-day SMA acting as dynamic resistance near $109.50. This structure reinforces bearish dominance, though oversold conditions could prompt short-term bounces toward the 50-day average.
MACD & KDJ Indicators
MACD remains in negative territory with a widening histogram, signaling strengthening downward momentum. Concurrently, KDJ’s %K (26) and %D (31) hover near oversold thresholds but show no bullish crossover. While these metrics suggest oversold conditions are developing, the absence of reversal signals implies persistent selling pressure. A bullish MACD crossover or KDJ %K/%D upward cross would be needed to indicate momentum shift.
Bollinger Bands
Bands contracted sharply in August, reflecting declining volatility amid directional uncertainty. Price currently presses against the lower band near $105.40, typically a rebound signal. However, prolonged trading at this level without recovery may foreshadow a volatility expansion toward downside targets. Upper band resistance converges with the 50-day SMA near $109.50, creating a technical hurdle.
Volume-Price Relationship
Down days frequently coincide with elevated volume (e.g., August 11’s -1.51% move on 3.18M shares vs. average), confirming bearish conviction. Recent rallies show muted volume, notably the August 13th 1.32% gain on 2.68M shares versus the 3.18M shares during the preceding decline. This volume divergence undermines bullish sustainability and suggests limited buying interest.
Relative Strength Index
The 14-day RSI reads 35, approaching oversold territory but not yet extreme. This aligns with KDJ’s near-oversold reading but lacks historical reversal correlation – the April trough occurred at RSI 28. While not definitively oversold, RSI’s position may support a technical bounce, though sustained recovery requires bullish volume confirmation.
Fibonacci Retracement
Applying Fib levels between the July 16 high ($114.50) and August 18 low ($105.42) shows critical support at the 78.6% retracement ($105.80), now breached. Next support aligns with the 104.2% extension level at $104.00, a psychological and technical floor tested August 11-12. Resistance clusters at $107.30 (61.8% retracement) and $108.90 (50%), coinciding with moving averages and prior price congestion.
Confluence & Divergence Observations
Multi-indicator confluence identifies $104.00 as critical support, backed by volume confirmation, Fib projections, and prior price reactions. Resistance tightly clusters at $106.60-$107.30 (candlestick highs, Fib 61.8%, Bollinger midpoint). Notable divergence exists between oversold momentum oscillators (RSI, KDJ) and bearish trend indicators (MACD, moving averages), reflecting tension between short-term rebound potential and persistent downtrend strength. Resolution below $104.00 would activate stronger bearish targets near $101.50, while reclaimed $107.30 could shift near-term bias neutral.