Wells Fargo & Company (NYSE:WFC) Wells Fargo can’t wake up from the nightmare

Wells Fargo & Company (NYSE:WFC) Wells Fargo can’t wake up from the nightmare

Wells Fargo & Company (NYSE:WFC) Wells Fargo can’t wake up from the nightmare

Wells Fargo can’t wake up from the nightmare that began exactly two years ago.

What sounded at first like a run-of-the-mill bank settlement — a $185 million payment to atone for “sales practices” — has morphed into a cascade of scandals that has rocked one of America’s most storied banks to its core.

It started in September 2016, when Wells Fargo shocked the nation and announced it had fired 5,300 workers over several years for creating millions of fake accounts.

Wells Fargo has since replaced longtime CEO John Stumpf, discarded the wildly unrealistic sales goals that led to the bad behavior and apologized for mistreating workers.

The bank hired the respected Elizabeth Duke to lead its board, installed fresh directors and pledged in a splashy marketing campaign to clean up its act. New CEO Tim Sloan vowed to uncover mistakes of the past.

Yet America’s third-largest bank remains in turmoil from the fake-account controversy — and other scandals keep emerging. It paints the picture of a bank that has repeatedly abused its customers.

The nightmare is hurting Wells Fargo’s business, not just its reputation. Bottom-line growth has stalled, and the bank remains in the penalty box with regulators.

“Wells Fargo is still trying to sweep up broken glass — but they’re finding it all over the place,” said William Klepper, a management professor at Columbia Business School.

“The problems are far more pervasive than in just retail banking,” said Klepper, who conducted a case study on the crisis at Wells Fargo.

Overall, the bias in prices is: Upwards.

The projected upper bound is: 59.31.

The projected lower bound is: 55.66.

The projected closing price is: 57.48.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 26 white candles and 23 black candles for a net of 3 white candles.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 22.0380. This is not an overbought or oversold reading. The last signal was a sell 11 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 40.76. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 112 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -242.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 11 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 20 period(s) ago.

Rex Takasugi – TD Profile

WELLS FARGO & CO closed down -0.530 at 57.400. Volume was 27% above average (neutral) and Bollinger Bands were 40% narrower than normal.

Open High Low Close Volume___
57.950 58.060 57.350 57.400 6,490,122

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 58.58 57.68 57.04
Volatility: 14 20 28
Volume: 4,975,343 5,042,099 5,512,450

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

WELLS FARGO & CO is currently 0.6% above its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of WFC.N at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on WFC.N and have had this outlook for the last 5 periods.

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