BA is probably one of the most ominous charts I've seen to date
Mainly because they're essentially "too big to fail" and with the 1-2 punch of the 737 max grounding and then COVID the fundamentals seemingly are matching the chart.
Starting in 2018 BA started printing a massive diamond top reversal pattern, and whether it be via coincidence or.. whatever, the stock was already breaking out to the downside, and retesting when COVID hit.
The shock of COVID took the name to a 3.618 extension and well past the 46% measured move from the breakout of the diamond top reversal.
Since then BA has had a decent retrace, getting over a .618 retrace of the break down. But, since then it's had a kind of stuck in the mud moment with gravity and maybe fate bringing this stock back towards the ground.
BA has broken down out of a rising wedge drawn from the highs of 06/09 to the low s of 11/02 to the highs of 03/15, and is currently on track to create what i call an h pattern. Or essentially an impulse move lower, a bounce, and a subsequent retrace back into the lows for a retest or possible ABC pattern simply because it looks like an h.
On top of that we also have BA currently flirting with breaking out to the downside of a descending triangle as well. Both of these measured moves would bring BA into a 100% retracement measured from the lows of 10/30/21 and the 1.618's of these retracements are... you guessed it, the lows of COVID.
The measured move for the rising wedge is roughly $148.58 or -39%. The measured move for the descending triangle is $141.10 or -32.5%. Not to mention that A/D or accumulation/distribution is looking irreparable as well. Getting nowhere near its pre COVID levels and actually staying in a downtrend and diverging from price almost the entirety of the post COVID bounce.
Now, here's where it gets spooky. If this is a true ABC correction simply measuring the move from the top set back in 2019 to the top of the retracement puts BA at... $0. Well, -$97.91 actually. But, i think $0 would be the floor.
If we want to measure just the impulse move from Just the retest of the diamond top the target is $17.85. Basically worthless for how massive of a corporation BA is.
I have no dog in this fight. I'm just doing the analysis. Take it as you will.
Maybe Boeing is too big to fail. Maybe they'd be nationalized like Freddie and Fannie, but regardless it'd be a fall of an absolute titan.
Delayered:
Starting in 2018 BA started printing a massive diamond top reversal pattern, and whether it be via coincidence or.. whatever, the stock was already breaking out to the downside, and retesting when COVID hit.
The shock of COVID took the name to a 3.618 extension and well past the 46% measured move from the breakout of the diamond top reversal.
Since then BA has had a decent retrace, getting over a .618 retrace of the break down. But, since then it's had a kind of stuck in the mud moment with gravity and maybe fate bringing this stock back towards the ground.
BA has broken down out of a rising wedge drawn from the highs of 06/09 to the low s of 11/02 to the highs of 03/15, and is currently on track to create what i call an h pattern. Or essentially an impulse move lower, a bounce, and a subsequent retrace back into the lows for a retest or possible ABC pattern simply because it looks like an h.
On top of that we also have BA currently flirting with breaking out to the downside of a descending triangle as well. Both of these measured moves would bring BA into a 100% retracement measured from the lows of 10/30/21 and the 1.618's of these retracements are... you guessed it, the lows of COVID.
The measured move for the rising wedge is roughly $148.58 or -39%. The measured move for the descending triangle is $141.10 or -32.5%. Not to mention that A/D or accumulation/distribution is looking irreparable as well. Getting nowhere near its pre COVID levels and actually staying in a downtrend and diverging from price almost the entirety of the post COVID bounce.
Now, here's where it gets spooky. If this is a true ABC correction simply measuring the move from the top set back in 2019 to the top of the retracement puts BA at... $0. Well, -$97.91 actually. But, i think $0 would be the floor.
If we want to measure just the impulse move from Just the retest of the diamond top the target is $17.85. Basically worthless for how massive of a corporation BA is.
I have no dog in this fight. I'm just doing the analysis. Take it as you will.
Maybe Boeing is too big to fail. Maybe they'd be nationalized like Freddie and Fannie, but regardless it'd be a fall of an absolute titan.
Delayered:
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