IVZ psar bear signal

The global investment company Invesco (IVZ) shows a psar bear signal at the open today, and also a pps bear signal. The price today, so far, has shown a 5% decline high to low.

The macd is in bull territory but declining for a second day. Both the sto and the mfi dipped below their overbought lines, a bearish sign.

IVZ can be interpreted as having entered a downtrend on Jan. 11, but the pattern remains ambiguous. The price showed a lower low on Feb. 8.

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High Probability Trading Strategies: Entry to Exit Tactics for the Forex, Futures, and Stock Markets (Wiley Trading)

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But the question with this sort of analysis is always: "Lower that what?" I can also interpret it as a higher low. It all depends on what lows and highs the analyst chooses to ignore as low-level noise.

The stock is trading now at about $20.10. a decline below $17.74 would be a lower low. A push above $23.70 would be a higher high.

You are here:

• Resistance
• $23.70, +17.9%
• $22,45, +11.7%
• $21.84, +8.7%
• $21.48, +6.9%
• Now $20.10
• Support
• $18.95, -5.7%
• $18.05, -10.2%
• $17.74, -11.7%

This stock shows good potential to the downside, with nearly 6% to go before the nearest support, and 10% to the next level down.

The choice of option strikes is pretty weak, but a bear call spread for April, short the $20 strike and long the $22.50, will provide about 70 cents in credit, and it's profitable at expiry up to about $20.70, giving some room on the upside.

Max profit would kick in at $20 for such a position.

Abbreviations:
pps - Person's Proprietary Signal
ma20 - 20-day moving average
macd - Moving Average Convergence-Divergence
mfi - Money Flow Index
sto - Fast Stochastic