It is nice to see two, or even three, investment approaches when they are on the same page, so to speak. CIT Group (CIT) was downgraded by TheStreet Ratings service and it looks lower on our charts.
In this daily chart, above, of CIT we can see how the stock has held support around $40 since late September, but gave that away in January. The On-Balance-Volume (OBV) line has been in a decline since May, telling us that investors have been more aggressive on the sell side, with volume heavier on days when CIT closed lower. The Moving Average Convergence Divergence (MACD) oscillator is bearish and below the zero line. There is a death cross in late August, when the 50-day average went below the 200-day average. The slopes of both averages are negative, now.
In this longer-term chart of CIT, above, we can see that the decline in January broke the lows of 2013, 2014 and 2015. Prices could well continue to fall and retest the lows of 2011 -- in the $30 to $28 area. The OBV line is pointed down on this time frame, prices are below the declining 40-week average and the MACD oscillator is bearish.