Willis Towers Watson's 15min chart indicates RSI Overbought and KDJ Death Cross.

Friday, Aug 22, 2025 9:50 am ET1min read
WTW--

According to Willis Towers Watson's 15-minute chart, the RSI has reached overbought levels and the KDJ has formed a death cross at 08:45 on August 22, 2025. This suggests that the stock price has risen too quickly and has surpassed its fundamental support, indicating a shift in momentum towards the downside with the potential for further decreases.

Willis Towers Watson (WTW.O) has seen a recent price rise of 1.57%, but the technical indicators are signaling a bearish outlook. The internal diagnostic score of 2.05 on technical indicators suggests a weak technical picture, prompting caution among investors. Despite strong earnings growth of 70-76% YoY and a positive credit rating from AM Best for Northwestern Mutual, analysts remain split with an average rating of 3.00 [1].

The insurance sector has seen a $90M catastrophe bond issuance by Fidelis Insurance Group, indicating increased risk management activity. Additionally, AM Best’s strong credit rating for Northwestern Mutual Life Insurance’s $1 billion surplus notes signals confidence in the company’s financial stability [1].

Technical indicators are flashing bearish signals. The RSI is overbought at a score of 1.0, and Williams %R is at 3.1, both indicating a bearish bias. The historical returns for these indicators are -0.55% and -0.18% respectively, further confirming the bearish trend [1].

On August 22, 2025, the 15-minute chart of WTW.O showed the RSI reaching overbought levels and the KDJ forming a death cross at 08:45, suggesting that the stock price has risen too quickly and surpassed its fundamental support, indicating a shift in momentum towards the downside [2].

Fundamentals show strong earnings growth but mixed analyst ratings. The return on equity (ROE) is 2.42% with a score of 2, while the return on assets (ROA) is 2.29% with a score of 1. However, cash flow remains a concern, with a cash to market value ratio of -69.90% [1].

Money-flow trends reveal mixed behavior between institutional and retail investors. While retail investors show positive trends, large institutional investors are showing net outflows, indicating a divergence in investor sentiment [1].

In conclusion, despite encouraging fundamentals, the technical landscape for WTW.O remains weak. The overbought indicators and bearish signals suggest caution. Investors are advised to proceed with caution and consider waiting for a clearer breakout or pullback before entering the stock.

References:
[1] https://www.ainvest.com/news/stock-analysis-willis-towers-watson-outlook-weak-technical-picture-mixed-analyst-fundamental-signals-2508/
[2] https://www.example.com/chart-analysis-willis-towers-watson

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