Macy's is getting slammed, and one technician says the charts are pointing to even more pain ahead of earnings this week.
It's been a tough year for retailers — the retail ETF XRT has fallen nearly 10 percent, while the is up more than 15 percent in 2017. "Look at these numbers, it is something out of a horror movie. These are declines that are epic," Carter Worth of Cornerstone Macro said Friday on CNBC's "Options Action."
Macy's has been one of the hardest-hit retailers as the stock has lost half of its value and tumbled to multiyear lows. While some may be trying to pick a bottom, Worth cautioned that "often the greatest moves come from things that are already down a lot, and Macy's is at risk."
Looking at a long-term chart of Macy's, Worth pointed out that the stock broke its trend 2 to 3 years ago, and could retest its all-time low of $5.07.
"Why can't it go [back down] there? ... If you own it, get out," he added.
Analysts polled by FactSet are expecting the company to post earnings of 19 cents on $5.3 billion of revenue.
