We have not looked at the charts of Ferrari (RACE) for more than a year now but at that time the charts were bullish. Over the past few months it looks like RACE has begun to downshift. Prices look like they made an important peak in June and could be backing up more in the months ahead.
In this daily bar chart of RACE, below, we can see an uptrend - higher highs and higher lows - from December to June. In July the pattern shifts lanes with a lower high in July and a lower low in August. Prices fell below the 50-day moving average line and the slower-to-react 200-day line. Prices have firmed back above these two indicators but that hasn't turned the chart bullish. The daily On-Balance-Volume (OBV) line shows a peak in June and a significant decline to September. This decline suggests that sellers of RACE have been more aggressive for months. The daily Moving Average Convergence Divergence (MACD) oscillator is above the zero line but narrowing towards a possible downside crossover and take profits sell signal.
In this weekly bar chart of RACE, below, we can see that prices are recently back above the rising 40-week moving average line. The weekly OBV line shows a decline and small recovery. The MACD oscillator was in a take profits mode and could cross back to a buy signal.
In this Point and Figure chart of RACE, below, we can see an upside price target of $155 but a fresh column of "0's" could quickly turn this chart bearish.
Bottom line strategy: The OBV line declined sharply for three months and I think that is an important clue. RACE is not far from a new high but I think traders should be more cautious and defensive moving forward.