Last week was a tough one for insurance stocks like RE. This has been an intense hurricane season for the US. The expectation of loss can be reflected in the drop in share price. Insurance stocks Plunge as Irma approaches (Insurancebusinessmag.com)Everest RE Group (RE) Daily Chart(click to enlarge)Dead Cat Bounce:- For Everest, price retreated from just above 275 in July to tag 210 and close at 222.48 last week. - Friday's price was bullish, but during such a sharp fall, Friday's bullish candle can be interpreted as a Dead Cat Bounce (DCB). - This means, we should limit any bullish outlook and anticipate further downside.- Upside expectation should first be limited to the 230 area, the bottom of a previous consolidation. - The most aggressive bullish outlook should be limited to 240, a support/resistance pivot and where the 200-day simple moving average (SMA) resides.- Downside can be extended towards 195-200, the top of a large consolidation zone.