Hotel chain Marriott International’s (MAR) relative strength has been weakening since May. Yesterday, it tumbled out of the green zone and into the Yellow Neutral Zone of the SIA S&P 500 Index Report. The shares finished in 143rd place, down 52 spots on the day and down 69 positions in the last month.
A decisive downturn is underway in Marriott International (MAR) shares. Last month, an uptrend failed when the shares completed a bearish Rising Wedge pattern. A bounce off of $150.00 failed at a lower high near $175.00 signaling the start of a new downtrend that was confirmed when the shares broke down below $150 on a jump in volume.
With the shares under distribution, initial resistance has dropped toward the $150.00 breakdown point with next potential downside support in the $115.00 to $125.00 area based on previous lows.
From December of 2020 through May of 2022, Marriott International (MAR) shares had been under accumulation, steadily advancing in a rising channel of higher highs and higher lows. That uptrend has now ended with the shares staging a decisive breakdown. In recent days, the shares have snapped an uptrend support line, completed bearish Double Bottom and Spread Double Bottom breakdowns and taken out the $150.00 round number, all combining to signal the start of a new downtrend.
Based on previous column lows, a horizontal count and a longer-term uptrend line, downside support may appear near $129.70, $122.20, or $115.15 on trend. Initial resistance on a rebound appears near $155.00 based on a 3-box reversal and a retest of a recent breakdown point.
With a bearish SMAX score of 1, MAR is exhibiting weakness against the asset classes.
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