KB Home

For today's chart we've chosen to take a look at KB Home (NYSE:KBH) because it has fallen below an influential level of support. As you can see from the chart below, we've identified a descending triangle pattern, which will be used by short-term traders to suggest that the price may be getting ready to move lower. This bearish continuation pattern is constructed by drawing one trendline that it connects a series of lower highs and a second trendline that has historically proven to be a level of support. In the case of KBH, the bears have been able to send the price below the $24 mark, which is a technical signal of a further decline.