Why A Second Covid19 Wave May Not Hit Travel Stocks So Hard

Why a second Covid-19 wave may not hit travel stocks as hard as expected

Travel’s troubles might slowly be waning.

Even as U.S. coronavirus case counts spike at a record pace, the industry may have some newfound “leeway” in how it prepares for a possible second wave.

Consumers are growing increasingly frustrated with staying home and many are opting for road trips over flying, which many still consider being of higher risk.

Demand for big corporate travel isn’t back yet, but it’s going to keep these hotels continuing to grow back out of this hole, so, I don’t see them going away quite yet.

Marriott and Booking Holdings reported earnings above analysts’ expectations last week, with both companies noting that travel trends were improving despite continued pressure on their businesses. Booking Holdings CEO Glenn Fogel told CNBC on Friday that October’s rise in Covid cases and restrictions dampened the online travel giant’s results for the month.

Trend-based Fib extension shows that there is a strong support level around 1600. In general, a confident uptrend, aiming at levels.

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