Abercrombie & Fitch Co. (ANF) - Be cautious of today's move - May 23rd, 2011

Abercrombie & Fitch Co. (ANF) had a 0.58% jump May 23rd, 2011.  The the S&P500, Dow Jones, and the NASDAQ were all down over 1% as well.  So here are some reasons to be cautious of this move.

1. Slow stochastics / RSI shows a bearish divergence in May.
2. MACD momentum is pointing down.
3. Low volume move.  This jump had no conviction.


With stocks in general in negative territory, and with GAP INC (GPS) close last Friday, a correction in ANF is likely to occur.