Sell signal in week 3, earnings due October 13
Wells Fargo bounces 3.9% and breaks its run of lower highs just ahead of earnings
Our view last week
Wells Fargo's weekly MACD has crossed below its Signal line after 16 weeks above it: 7 days ago it was still on top, though weakening. Wells Fargo stock loses 3%, a 3rd straight down week, and prints a new 30-day low in the 78 area, right where the 100-week moving average runs. For swing trading the technical analysis calls for caution: earnings are due on October 13 and our model rates a short opened now as high-risk.
This week's summary
Wells Fargo bounced 3.9% after 3 straight down weeks, and on the daily chart the run of 4 lower highs that began in mid-September is broken. Wells Fargo stock still sits inside a sell signal that has lost its push: 7 days ago the weekly MACD had just slipped below its Signal line, and it is still there. Among US stocks this is a swing trading setup that hinges on the October 13 earnings, and our model still rates a short opened now as high-risk.
Sell signal in observation
·3rd week from start
·US stocks
·T2
·📅 Earnings · Oct 13
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IQS Phase
59
ordinary
Signal Strength
12
decline losing steam
Sizing
MINIMUM
Ranking
#103 / 174
US stocks sell signals
Trade P&L %
-0.70%
from signal to date, no stop loss
Wells Fargo (WFC) weekly chart — EMA50 · MACD · VWAP
Weekly chart · EMA50 · MACD · VWAP · Source: TradingView
Rank position
ranks 103rd among the 174 sell signals for US stocks in our ranking, with a signal strength of 12 out of 100.
Sector context
SectorFinancials
Benchmark ETFXLF
Sector regimeweak phase
Performanceweekly +2.32% · monthly -4.08%
WFC belongs to the financials sector (reference ETF XLF). The sector is classified weak phase according to our weekly reading.
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