FedEx Financial Performance Exceeds Forecasts. Idea 26/03/24

BATS:FDX   FedEx Corporation
FedEx Corp., a prominent logistics company, announced quarterly earnings of 3.86 USD per share on revenue of 21.7 billion USD. According to LSEG, analysts had predicted earnings of 3.45 USD per share with revenue of 22.04 billion USD. Although sales of logistics services have decreased, their profitability has increased, indicating financial stability.

Additionally, China intends to ease restrictions on data transfers from its jurisdiction, a move that businesses in the US and EU have positively received. A forum will soon take place in Beijing, to which representatives from FedEx are also invited. This step by the Chinese government will allow for business expansion in China.

Given these developments, a technical analysis of FedEx Corp's (FDX) stock chart is warranted.

On the daily (D1) timeframe, a support level formed at 251.68 USD, and the resistance at 270.95 USD was broken, with no new resistance formed yet. A strong upward trend is observed. After a corrective decline and the formation of a resistance level, the stock price is highly likely to continue its ascent.

On the hourly (H1) timeframe, long positions may be of interest when rebounding from the 270.95 USD level, with a short-term target of 302.36 USD. Maintaining a long position up to 320.45 USE could be considered in the medium term.

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