FNM Watch

The government-controlled mortgage company Fannie Mae (FNM) has declined 3.2% intraday and is trading 1.8% below Friday's close.

	trend	adx	psar	pps	macd	macd trend	sto	sto trend
FNM $0.91

At 12:48 p.m. Eastern

The decline puts Fannie at levels last seen on May 25. The present 91¢ price remains well above the next lowest Fibonacci retracement level of 68¢ (78.6%).

Reversal Levels

• $0.99, +8.8% (Fib 61.8%)
• $0.96, +5.5% (20-day ma)
• $0.91 <== You are here.
• $0.88, -3.3% (swing low)
• $0.68, -%25.3 (Fib 78.6%)

FNM is constrained topside by the 20-day simple moving average and the next-highest Fibonacci level, 61.8% at 99¢. That 99¢ level has played a major role of support and resistance for more than three months. In terms of the technical signals, the macd is deterioriating after only four days above the zero line, and the fast stochastic has plummeted into oversold territory (for the stochastic, that's bearish until it re-emerges into the neutral zone). The parabolic sar and Persons's Proprietary Signal are mixed: bull phase on the psar, bear phase on the pps.

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Abbreviations:

• psar - Parabolic Stop and Reverse
• adx - Average Directional Index
• pps - Person's Proprietary Signal
• ma20 - 20-day moving average
• macd - Moving Average Convergence-Divergence
• sto - Fast Stochastic

About the glance: The colors indicate the state of each signal.

• trend: Determined by the 5-day moving average, green for up, red for down, yellow for sideways
• adx: orange for above 30-up, blue for 20-down, purple for in the middle. Red is most prone to whipsaws
• psar, pps, macd: green for bull mode, red for bear
• sto: green for overbought, red for oversold, yellow for the neutral zone.

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Tim Bovee, Private Trader tracks the trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment. No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decision decisions for his or her own account, and take responsibility for the consequences.