Years ago, I was a doubter of the commodity exchanges as they moved from "private clubs" to publicly listed stocks, but they made the transition. After big rallies, it looks like some of the exchanges have another change ahead.
The price of CME Group (CME), above, has made no progress since the beginning of 2015. There were at least three upside tests of the $100 level last year and they all failed. The dips to or toward $85 were bought. The whole time CME moved sideways, the On-Balance-Volume (OBV) line also moved sideways, which is disappointing.
Instead of showing accumulation with a rising OBV line, the sideways line leaves us sitting on the fence. Tilting the picture to the bear side is the negative position of the 50-day and 200-day moving averages and the bearish Moving Average Convergence Divergence (MACD) oscillator.
This longer-term chart of CME, above, shows the tests of the $100 level and the move below the 40-week moving average. The 40-week average has gently rolled over and now has a negative slope. The MACD oscillator is bearish too. A close below $85 for CME should take prices down to $80 with $70 a possible longer-term objective.