Strap on your seatbelts because this stock might be ready to soar soon!
Here’s a small reversal pattern I’m seeing on Boeing.
The Boeing Company (BA): 4-hour
Check out this double bottom pattern on the 4-hour chart of Boeing!
Could this mean that shares are about to skyrocket from here?
Price has yet to clear the barrier around the $140 level to confirm that a reversal is underway, possibly leading to an ascent that’s the same height as the chart formation.
Stochastic has some room to climb before reflecting exhaustion among buyers, so BA shares might keep getting a boost from bullish momentum.
However, the 100 SMA is still below the 200 SMA to signal that resistance levels are more likely to hold than to break. The gap between the indicators is even widening to reflect strengthening bearish pressure.
Also note that the 100 SMA dynamic inflection point is close to the neckline resistance to add to its strength as a ceiling.
If resistance holds, Boeing shares could tumble back down to the lows near $120 or much lower. Of course this could also hinge on overall market sentiment and whether or not risk-off flows persist.
Just keep in mind that this aircraft manufacturing company is working on a deal to sell up to 300 jets to Air India and has recently secured a loan worth $811 million to supply aircraft to Air France-KLM.
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