• Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
Stock

Red alert: SCHD ETF just flashed a rare risky pattern

by April 17, 2025
by April 17, 2025

The Schwab US Dividend Equity (SCHD) ETF has crashed in the past few weeks, and this trend may continue after it formed a risky chart pattern. It was trading at $25.10 on Wednesday, down by 13.25% from the highest point in December. 

SCHD ETF stock has formed a death cross

The Schwab US Dividend Equity ETF is at risk of a big meltdown after it flashed a death cross on the daily chart. This chart shows that the 50-day and 200-day moving averages have crossed each other for the first time since 2023. 

Historically, a death cross often leads to more downside since it signals that bears have prevailed. Worse, this death cross is happening after the chart formed an ascending channel between December last year and April.

The ETF has also moved to the 50% Fibonacci Retracement level. Also, oscillators like the Relative Strength Index (RSI) and the MACD have all pointed downwards. 

Therefore, there is a risk that the fund will continue falling this year, with the initial target being the year-to-date low of $24, which is about 5.8% below the current level. A drop below that level will point to further declines to the 78.6% retracement point at $22.78. 

The bearish outlook will become invalid if the SCHD ETF rises above the key resistance level at $28.

SCHD ETF stock | Source: TradingView

Why the Schwab US Dividend Equity ETF is crashing

The SCHD ETF is falling as Wall Street investors remain fearful. Data by CNN shows that the fear and greed index has crashed to the extreme fear zone. Historically, investors remain in the sidelines and even sell their shares when the fear and greed index is in the red zone. 

The current fear is driven by the ongoing trade war between the US and other countries, especially China. Trump announced sweeping tariffs on all imported goods to the US.

While he has eased some tariffs from other countries, he has pushed those from China sharply, risking a full-blown trade war and a recession.

Analysts warn that a recession may happen unless these tariffs don’t end. In a recent X post, Mark Zandi, a popular economist at Moody’s, noted that his recession odds jumped to 60% after the sharp decline in consumer confidence.

A recession would hurt the American economy and companies, impacting their demand and margins.

However, as we have written here and here, companies in the SCHD ETF will mostly be immune from these tariffs because of their industries. Most of the constituents are in the financial services industry, many of which are regional banks. 

The other top companies in the fund are in the pharmaceutical and consumer staples sectors. 

Further, there are signs that Trump wants to use his threat of tariffs as a negotiation tactic. He has already met with a delegation from Japan, and analysts expect that a deal with China will happen soon.

The post Red alert: SCHD ETF just flashed a rare risky pattern appeared first on Invezz

0 comment
0
FacebookTwitterPinterestEmail

previous post
Dem rising star eyes Vance as key long-term threat: ‘Needs to be defeated’
next post
Europe market open: Stoxx 600 edges lower before ECB rate call; Siemens energy upgrade sparks rally

Related Posts

Adani Group brings more women leaders into key...

August 28, 2025

Cambricon stock price surged: here’s why it may...

August 28, 2025

India’s instant delivery race hits $15 billion, but...

August 28, 2025

Google to invest $9 billion in Virginia data...

August 28, 2025

Europe markets open: Stocks rise as Nvidia earnings...

August 28, 2025

Russian LNG tanker from sanctioned plant makes first...

August 28, 2025

Sotheby’s to launch first Abu Dhabi auction with...

August 28, 2025

Pernod Ricard shares climb as sales, profit beat...

August 28, 2025

Tesla sales in Europe fall 40% as BYD...

August 28, 2025

Berkshire Hathaway lifts Mitsubishi stake above 10% in...

August 28, 2025

Stay updated with the latest news, exclusive offers, and special promotions. Sign up now and be the first to know! As a member, you'll receive curated content, insider tips, and invitations to exclusive events. Don't miss out on being part of something special.

By opting in you agree to receive emails from us and our affiliates. Your information is secure and your privacy is protected.

Recent Posts

  • Bolivia’s Defeat of Socialism Signals a Continental Realignment

    August 28, 2025
  • Economic Measurement and the Mirage of Exactness

    August 28, 2025
  • Netmore Partners with Detectronic on Multi-Year Wastewater Management Sensor Deployment

    August 28, 2025
  • Bolivia’s Defeat of Socialism Signals a Continental Realignment

    August 28, 2025
  • Economic Measurement and the Mirage of Exactness

    August 28, 2025
  • Eseye Solidifies Global IoT Leadership with Leading Position in Brazil’s High-Growth Cellular Connectivity Market

    August 28, 2025

Editors’ Picks

  • 1

    Meta executives eligible for 200% salary bonus under new pay structure

    February 21, 2025
  • 2

    Walmart earnings preview: What to expect before Thursday’s opening bell

    February 20, 2025
  • 3

    New FBI leader Kash Patel tapped to run ATF as acting director

    February 23, 2025
  • 4

    Anthropic’s newly released Claude 3.7 Sonnet can ‘think’ as long as the user wants before giving an answer

    February 25, 2025
  • 5

    Cramer reveals a sub-sector of technology that can withstand Trump tariffs

    March 1, 2025
  • 6

    Nvidia’s investment in SoundHound wasn’t all that significant after all

    March 1, 2025
  • 7

    Elon Musk says federal employees must fill out productivity reports or resign

    February 23, 2025

Categories

  • Economy (2,356)
  • Editor's Pick (228)
  • Investing (185)
  • Stock (1,593)
  • About us
  • Contact us
  • Privacy Policy
  • Terms & Conditions

Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Portfolio Performance Today
  • Investing
  • Stock
  • Economy
  • Editor’s Pick
Copyright © 2025 Portfolioperformancetoday.com All Rights Reserved.

Read alsox

Asian markets plummet as Trump’s tariffs trigger...

April 7, 2025

FTC seeks delay in Amazon Prime case,...

March 13, 2025

Top DAX Index shares to watch: Commerzbank,...

May 2, 2025