Wal-Mart's Stock Drops Below 200-day Moving Average For First Time In 5 Months

Wal-Mart Stores Inc.'s stock slid 0.7% in afternoon trade Friday, putting it on course for a fifth-straight loss to a five-month low. More importantly for chart watchers, the stock is headed for the first close below its 200-day moving average, which many technicians use as a dividing line between longer-term uptrends and downtrends, since May 18. At that time, the stock closed below its 200-day MA for just one day, before surging back above it after the Wal-Mart reported better-than-expected quarterly results on May 19. The last time it closed below the 200-day MA for at least two-straight sessions was Feb. 22. The stock was trading at $68.90, while the 200-day MA extended to $69.18. Friday's selloff comes a day after Wal-Mart provided a downbeat earnings outlook for fiscal 2017. It has lost 6.3% over the past three months, while the SPDR S&P Retail ETF has gained 3.9%--the ETF is 1.6% above its 200-day MA-- and the Dow Jones Industrial Average has tacked on 2.1%.