Stock Of The Day: FedEx Shows 'Bad Action' As Support Crumbles

Core Viewpoint - FedEx Corporation's stock is experiencing a downtrend following the announcement of earnings and plans to separate its Freight Unit, indicating "bad action" in the market [1]. Group 1: Stock Performance - FedEx shares opened approximately $20 higher on December 20 after the earnings announcement, but ultimately closed lower, reversing all gains, which reflects "weak action" and bearish control [1]. - The stock broke the support level at$275, further exemplifying "bad action" in the market [2]. Group 2: Market Dynamics - Support levels typically form at previous resistance prices due to sellers wanting to buy back shares at the same price, but the support at $275 lasted only three days before being broken by higher sell orders [3]. - The absence of a rebound after the stock's significant drop indicates that buyers are not entering the market, suggesting continued bearish sentiment and a likelihood of further declines for FedEx [3].