Stock of the day: Boeing

Monday starts bullish, so naturally our attention shifts towards buying setups on the market. The new week starts with an analysis of Boeing, which we previously mentioned at the end of February. Back then, the situation was negative but we saw a light at the end of the tunnel. We highlighted the buying opportunity but only in case of the hypothetical breakout of a resistance:

“Usually, when such a support inside of the channel down formation is formed, it is the start of a bullish reversal. We still have to wait for the buy signal though. It will be created, when the price breaks the upper line of the channel up formation and we’re still pretty far from that. “

The breakout happened but not to the upside but south. Boeing was really in trouble and the price dropped like a rock. Today, we meet again as we see another light at the end of the tunnel and also here, before the signal is triggered, we need to see the breakout of the resistance first.

On the chart, we can see a very nice double-bottom formation (yellow). Formation has a neckline (orange) and this one has to be broken in order to see a buy signal. In addition to this, it would be really nice to see the breakout of the black and green lines as well. We’re not really far from these three things. Accomplishing that, would be an amazing buy signal for Boeing and chances for that are quite high.