Recently, due to the tragic event of the crash of a Boeing airplane, the stock made a free fall and went from $444 to approx $364 before trying to stabilize.
On the daily chart I have placed 3 lines. The Grey and Black lines form an area. Above it a stock remains into positive territory while below it the stock is in a negative territory. The yellow line shows a level which can be used as a short term support.
So for now BA has tested the yellow line and remains above it and above the Grey and Black lines. This for me shows some interest on the stock from investors who believe that we have seen the drop.
Have we seen the drop? This is the question to answer.
Technical Analysis and more specifically Elliott Wave Analysis is showing that the correction has just started.
In fact we had a first wave down and at some point a reaction will take place.
I expect it to be shallow, therefore I do not think that the stock will cross the $400.
When the reaction ends a new sharp move down will start.
The target prices of such a move are mentioned at my site winstox.webnode.com/
On the daily chart I have placed 3 lines. The Grey and Black lines form an area. Above it a stock remains into positive territory while below it the stock is in a negative territory. The yellow line shows a level which can be used as a short term support.
So for now BA has tested the yellow line and remains above it and above the Grey and Black lines. This for me shows some interest on the stock from investors who believe that we have seen the drop.
Have we seen the drop? This is the question to answer.
Technical Analysis and more specifically Elliott Wave Analysis is showing that the correction has just started.
In fact we had a first wave down and at some point a reaction will take place.
I expect it to be shallow, therefore I do not think that the stock will cross the $400.
When the reaction ends a new sharp move down will start.
The target prices of such a move are mentioned at my site winstox.webnode.com/