Shares of apparel retailer Gap Inc. (GPS) gapped lower Friday as the company cut its sales outlook for the first quarter of fiscal 2022 and the CEO of the Old Navy, Nancy Green, will leave her post this week. Not a banner day.
Let's check out the charts.
In the daily bar chart of GPS, below, we can see that the shares have been in a prolonged decline. GPS is trading below the declining 50-day moving average line and the bearish 200-day line. Trading volume has been heavier since late November as traders vote with their feet.
The On-Balance-Volume (OBV) line has lost ground the past 12 months telling us that sellers of GPS have been more aggressive for a long time now. The Moving Average Convergence Divergence (MACD) oscillator is bearish.