TradingView
ITMmatty
Sep 12, 2021 4:18 AM

$BA Range Bound in Ascending Channel Long

Boeing Company (The)NYSE

Description

Looking at BA's weekly chart, I can see a strong ascending channel that price action has firmly abided since the covid crash. A big rally in March brought us to resistance level again, and BA has meandered downward since. A simple Fib retracement from crash lows to recent highs reveals that BA is sitting on the 0.382 retracement level (possible point of reversal at BA 206). RSI analysis shows that we are approaching a oversold levels, and possibly an RSI support zone around RSI-40. Assuming we bounce off of this tested historic support, a trip to resistance over the next 6 months seems likely. A Fib extension from March highs to current levels reveals a potential target price at 320, which matches the timeframe of the ascending resistance we've observed. As indicated by red dotted trendlines, multi-month moves toward support seem to be a bullish pattern for BA. Observe the last move made. Price fell from resistance to support, Bollinger Bands tightened significantly, and BA broke upward. Notice the similar angle of move toward support we've made since 2021, and BBands tightening again. TRIX has yet to throw a bull signal on this timeframe. Waiting for confirmation then considering long entry with 6 month+ expiries or shares.
More