Norwegian Air Shuttle (NAS) has formed a reverse head and shoulders formation, signaling a shift in dynamics between buyers and sellers in favor of buyers. Since June 2021, the outlook for NAS has been uncertain, but there has now been a significant breakthrough above a resistance level.
The range between 13.5 and 13.7 has been a significant resistance zone for NAS since June 2021. The first encounter with this resistance occurred in February 2022, followed by another attempt in april 2022. Afterward, the stock declined, forming the head in the reverse head and shoulders formation. The stock managed to recover to the resistance in June 2023 but failed to break through. Subsequently, a decline ensued, establishing the right shoulder.
On February 5, 2024, the stock successfully broke through the resistance with high volume. This suggests further upward movement and marks the beginning of a potential rising trend.