Federal Home Loan Mortgage Corporation(FRE) is in an downtrend but momentum is showing some life

(28-Jan-2008) (28-Jan-2008) Federal Home Loan Mortgage Corporation(FRE) closed at 29.9, up 0.32 or 1.08 % for the day. Based on our analysis, Federal Home Loan Mortgage Corporation(FRE) is in an downtrend but momentum is showing some life.

The closing price of Federal Home Loan Mortgage Corporation(FRE) is below its 50 day moving average of 31.58 (Designated by blue line). This indicates that the trend is down. The MACD histogram(Gray bars on the bottom) above the signal line(Dark Red Line) tells us that Federal Home Loan Mortgage Corporation(FRE) is gaining momentum. An downtrend with sustained rising momentum could be early sign of reversal. The MACD histogram crossed above the signal line on 14-Jan-2008, about 11 trading days ago.