FedEx Corp (US: FDX) has completed the impulse wave (5) cycle of the intermediate phase and it is close to complete the intermediate ABC 3-wave pattern. We expect a little more room to drop further but based on the technical, we expect a rebound coming soon:

1. Prices forms a high wave candle yesterday above the support zone and it signal neutrality for now. But the technical cue it is giving is that selling momentum is weakening, especially RSI has shown bout of oversold level below 40 RSI line.
2. The rebound will likely happen at the immediate turned support zone region at US$233.06-US$246.15. Which also confluence with the 161.8% and 200.00% expansion level of wave (A)-(B). Hence, (C) wave is likely to be completed at that region.
3. However, do take note that the immediate trend remain on a downtrend after bearish crossover has been spotted.

*Expected timeline of the trade is 15 weeks from the date of report issuance.

CHART LEGEND

Moving Average

Red dotted line = 200 Periods MA

Blue dotted line = 63 Periods MA

Green dotted line = 22 Periods MA