Intercontinental Exchange Inc. (ICE) Stock Prediction

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Generally, I’m not looking for price analogies. But as Mark Twain said, “History is not repeated, but often rhymes.” This current rapid decline begins at an all-time high (ATH) with the S&P 500 (SPX) down 10% in just 16 days, reminiscent of the pullback in October 2014. At the time, SPX lost 7.4% from ATH in 19 days, losing 9.8% on an intraday basis. The 14-day relative strength index (RSI) fell to 29.2%, with the decline continuing for four weeks, retaining the 50-week average. The decline occurred about 1 weekly, and also after 5 years of momentum divergence. The current decline is the fourth week, occurring after a bearish weekly divergence of the year, but sitting under 50 weeks. On the bottom of the 2014 slide, two big hammer candlesticks each day and a huge weekly hammer were marked. SPX continued to complete the Quick “V” bottom and moved to ATHS. To throw some water into our analogy, the market width is weaker than in 2014, and so far, bearish sentiment has surged much higher according to the options market. The stock market’s technical conditions continue to weaken, and ultimately received a 10% SPX revision, increasing the pain of the Nasdaq and Nasdaq 100 (QQQ). Ominously,