FDX is bearish; joining the downward trend due to disastrous technical indicators and double top formation.

You chose FedEx as the first stock among these stocks. Is it under pressure today, having fallen by only 0.6% along with the market as a whole? What is your opinion on FedEx stock today?

I think FedEx might be my go-to option for bearish trading today. I promised you only one bearish trade today, but look, I'm going to join the current trend, which is a bearish trend as you'll see shortly with Rick's explanation.

It appears to me that a double top has already formed around the descending "Hit it" level.

Well, the price has reversed strongly from the 340 level down to the current value. And I must tell you, this trend does not appear to be stopping anytime soon. The technical indicators are in a disastrous situation now.

As I said, I will enter a bearish trade, but I will give myself some time. For this deal, we have to wait for the earnings announcement; perhaps the price will rise slightly afterward.

But again, I want to join the trend now, and this trend is completely downward.

Let's move on to the expiry date of December 18th. Once again, I will give myself some time; the expiration date is December 18th. I will buy put options at 280. I will sell put options at 270 in return.

This deal is for $3. Therefore, the spread of the $10 full put option that is executed for $3 gives us plenty of time. There is a high potential for profit if FedEx stock continues to decline.

Okay, Rick. He says the technical indicators are in a terrible state. Do you see the same thing? Explain to us what is horrific?

Well, the situation is not good. I mean, to clarify some of these things, these are the double-peak areas that Don was discussing here, around 340 or 341. As you can see, this forms an M-shaped pattern where we arrive at the same point and see bounces, you know, twice separate.

Now, we have a descending channel shape between the two white lines. We have broken above the bottom level that formed after the earnings announcement near 306 after a short bounce.

The price collapsed through it very quickly. Therefore, we now have two important landing zones to consider. We have a set of relative lows here at 290 and here at 286. This gives us a potential support zone here.

But we also have a gap that has formed here. From 276 to about 271, as you can see, there were some low points. And if you recall, this roughly corresponds to the breakeven point and short execution price of our trade.

Therefore, they will be looking for a downward move to this support zone where this gap was roughly formed at the beginning of the year in January or so.

Now, we can see that our moving averages, in this case, are showing signs of an accelerating downward trend. As you can see, we have the five-day, 21-day, and 63-day exponential moving averages sorted in descending order of their speed.

The faster one is below the slower one. We also have the 251-day exponential moving average, which represents one trading year, and it is 284.41. Therefore, this remains another important bearish indicator to watch.

It also aligns very closely with the lower limit of our channel, making it even more important to follow. The Relative Strength Index (RSI) is barely holding above the 30 level, which represents the oversold zone.

Any move below this level will indicate another downward trend. Therefore, the technical evidence is piling up here, and this is not the ideal situation. Therefore, if we fall too far below the 285 level, we will be passing through the high-concentration trading zone we have seen here, from 285 to 333, with particular importance around the 312 level, the control point.

If we go further down, the next area of real activity will be between approximately 245 and 255.

Good. As George Tsoukalas always says, the trend is your friend, and in this case, the trend is down 10% over the past month, as we see in FedEx stock.