Target Corp. (NYSE: TGT) — This retail giant, which operates about 1,500 Target and SuperTarget general merchandise stores in the United States, has been a victim of a slow economic recovery, and its stock shows it.

It hit a high above $60 in July, but gapped lower and attempted to stabilize in January at its 200-day moving average. That attempt was short-lived, and in March, it executed a “death cross” (50-day moving average moves down through 200-day moving average) indicating that a major bear market had begun.

But it again attempted to stabilize under its 50-day moving average, forming a saucer, which can be a favorable consolidation. However, last week, it failed again, breaking sharply lower from the saucer’s support at $49. With the breakdown, the Moving Average Convergence/Divergence (MACD) indicator issued a strong sell signal (red line crossed through blue) telling us that TGT is probably adding a new down leg to its bear market.

Sell TGT short with a trading target of $40. Longer term, the stock could fall to the mid-$30s.