If I were a long-term Boeing (BA – Free Report) shareholder, I’d be leading the pitchforks and torches to the boardroom. What on Earth is happening over there? Seems like every other month there’s another disappointing bit of news. The most recent ones, a failed starship mission that needed a bailout from SpaceX to get astronauts back home, and now 17,000 job cuts and a preannouncement of Q3 results.
Preliminary GAAP EPS reported Friday after the close in an obvious attempt to minimize the damage. A whopping $9.97 loss on revenues of $17.8 billion. That’s a big miss from the $1.44 loss expected on revenues of $19.2 billion. The company cited the IAM work stoppage and $5 billion in charges from Commercial Airlines and Defense programs. Was this finally the kitchen sink quarter for Boeing? Can management right the ship after this cut of 10% of its workforce?
Moving Averages: Bartosiak starts by examining the stock’s moving averages, such as the 50-day and 200-day moving averages. He points out the significance of crossovers and divergences between these averages, which can indicate potential trend changes.
Support and Resistance Levels: Bartosiak identifies key support and resistance levels on the chart. These levels act as barriers that the stock price must breach or hold above, providing traders with critical decision points.
Chart Patterns: He discusses chart patterns like head and shoulders, cup and handle, or flags, and their relevance in predicting future price movements. These patterns can offer valuable insights into potential bullish or bearish trends.
Volume Analysis: He emphasizes the importance of volume analysis in confirming price trends. An increase in trading volume during a breakout or breakdown can validate the significance of a price move.
Dave Bartosiak’s technical analysis approach adds depth to our understanding Boeing’s stock chart. By paying attention to moving averages, support and resistance levels, chart patterns, technical indicators, and volume, he equips investors with a comprehensive toolkit for making well-informed decisions in the stock market. Remember, while technical analysis is a valuable tool, it’s important to consider other factors like fundamental analysis and market sentiment before making investment choices.
