Veritex's 15-Min Chart Triggers MACD Death Cross, KDJ Death Cross, Warning

As per the 15-minute chart analysis at Veritex, the MACD and KDJ indicators have recently triggered a death cross, indicating that the stock price has the potential to continue its downward trend. This shift in momentum suggests that the stock's price movement is likely to shift towards the downside, potentially leading to further decreases in value.

Introduction:
Corning Inc. (GLW) stock experienced a significant shift in momentum on November 20, 2024, as both the Moving Average Convergence Divergence (MACD) and Keltner-Johnson's Adaptive Moving Average Divergence Indicator (KDJ) triggered a "death cross" signal on the 15-minute chart [1]. This bearish indicator suggests that the stock's price may continue to decline in the near future.

Understanding MACD and KDJ Indicators:
The MACD, developed by Gerald Appel in the late 1970s, is a popular momentum indicator that converts two trend-following indicators, moving averages, into a momentum oscillator [1]. The MACD line is calculated by subtracting the longer moving average (26-day) from the shorter one (12-day), and a nine-day Exponential Moving Average (EMA) of the MACD line is plotted as a signal line [1]. When the MACD line crosses below the signal line, it is referred to as a "death cross" signal, indicating that the short-term moving average is crossing below the long-term moving average, which is bearish and suggests that the stock's momentum is shifting towards the downside [1].

The KDJ indicator, developed by J. Welles Wilder Jr. and Thomas J. Keltner, is a trend-following momentum indicator that uses three lines: the KDJ line, the J-line, and the D-line [2]. The KDJ line is calculated by taking the average of the true range (TR) for a specified number of periods (typically 14) [2]. When the KDJ line generates a "sell" signal, it indicates a bearish trend and can be used in conjunction with the MACD to confirm the death cross signal [2].

Implications for Corning Inc. (GLW) Stock Price:
The death cross signals generated by both the MACD and KDJ indicators on Corning Inc.'s (GLW) 15-minute chart on November 20, 2024, suggest that the stock price may continue to decline in the near future [1][2]. This is because the momentum of the stock price is shifting towards the downside, which could result in further decreases in value.

Investors should monitor the stock closely and consider implementing risk management strategies to protect their investments. It is essential to note that while these indicators can provide valuable insights, they should not be used in isolation and should be considered in conjunction with other technical and fundamental analysis.

References:
[1] Ainvest. (2024, November 20). Corning-MACD death cross and KDJ death cross triggered on 15-minute chart. Retrieved from https://www.ainvest.com/news/corning-macd-death-cross-and-kdj-death-cross-triggered-on-15-minute-chart-24111000849bfdc40bb5d819/
[2] Investopedia. (n.d.). Keltner Channel. Retrieved from https://www.investopedia.com/terms/k/keltnerchannel.asp