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BA-2

$BA Weekly Head & Shoulders Pattern??This is a WEEKLY chart. Each candle represents a week of price activity. Let me start by saying I don't usually invest / trade based on a Head & Shoulder pattern. I am not, and do not claim to be, anything but "basically" informed about this pattern. Please feel free to correct me if I need it. I did reference StockCharts.com for info on the Head and Shoulders Top. This is the address of the page school.stockcharts.com Let's assume this is a H&S pattern. Well then my downtrend support line could also be called the "Neckline". This is a good place to look for BA to reverse. But if BA does not reverse here then it might be a good idea to research "Measured Move" or price target of a H&S pattern. Especially of you are holding BA stock or want to start a new position. By the way, Price Target is item #9 on the StockCharts.com page I referenced earlier. No matter what the chart says to me today, lets all agree that Boeing is not going out of business so it is not going to zero. Boeing has a good business, little competition, and is a leader in its business segment. But that doesn't mean it can't go down. The question for me is where will it go next. I also like to consider the viability of potential "price targets". Is $130 a viable price for BA? Before you answer, please consider that I could have asked you, anytime over the last two years, if $260 was a viable price for Boeing... Boeing makes airplanes. They supply many airlines around the world. But thanks to a virus that shall remain unnamed in this post, airlines are cancelling flights. As travel demand goes down so does the demand for new planes. As the demand for new planes goes down so does Boeing's sales. As Boeing's sales go down so does their ability to "earn" money (earnings). Side Note - If you buy companies or their stock based on P/E ratios you need to be extra careful in times like this. The E in your ratio is an estimate! What if your E gets revised down? As the denominator of a fraction gets smaller, the value of the fraction gets larger. I understand that the P in your ratio is also getting smaller recently. But please don't blindly accept the value of the ratio with the same E in the denominator. If the value of E gets smaller, you might be buying a stock based on a larger P/E ratio than you think. Back to Boeing's business. They have a new plane called the "MAX". You know the one I am referring to. It is grounded at the moment. When the FAA decides to re-certify the Max, that will be good for Boeing. But how good? Are the airlines - that don't need new planes because their demand has dwindled - going to buy the planes and put them in service? Will the re-certification lead to more sales immediately? Admittedly this is an oversimplified argument to make. But I think we need to consider it and the possibilities... The Good News - There is a chance that BA could bounce right here. BA's closing price on Friday was just above the downtrend line. It actually gained a lot of ground going into the close on Friday. Too much in my opinion but who am I?? If BA can stay above the downtrend line it may start going up from here. If you are waiting for Boeing to start heading higher, pay attention. You could start a small position around here as a test. But only a very small one. If BA drops back below the downtrend line I would personally sell that very small position and wait. What would you be waiting for? Less fear of getting sick and more passengers booking flights. Better news in general. Deliveries of airplanes that were manufactured but are now sitting in the desert. How about a date when the airlines are going to start flying to all of Asia again. Anything positive.
NYSE:BA
by TheTrendLineInvestor
2
BA Short IdeaAlthough I believe that Boeing is one of the stronger performing companies historically in the grand scheme of things, and though I also believe that they will be releasing some cutting edge technology in the next decade, I'm skeptical of the current value due to so much of the 737 drama over the last year. Boeing has been selling less and less planes and what would have been plane orders for Boeing over the last 12mo are now instead being filled by the European competitor Airbus. 737 Max models continue to fill employee parking lots and are parked around the world until the company can resolve fears of mechanical and technical issues with the aircraft. I think more pain is about to come for Boeing shareholders and I'm entertaining the idea of an entry to go long into 2030 and beyond, but at a lower price. Thoughts? Trade your own plan, this is just an idea.
NYSE:BAShort
by Acitsilos
4
BOEING (BA): Too Big To Fail? obviously fundamentals are dark and horrific for Boeing but "someone" :)) is still buying it from support no matter what. I believe that after the actual recovery the stock should drop once again to a strong weekly support and while more and more people will start shoring, I still think that in the long run it is gonna go much much lower. the first safest place for us to short is 364 level with stop above 382 we will have a great chance to short the stock being protected. I will breakeven the position after 336 level aiming at 308 and then we will see...
NYSE:BAShort
by VasilyTrader
1
Boeing Set to Bomb Earnings $BA drop > -7.5%Boeing, as a company has been under an immense amount of scrutiny as the MAX 737 scandal has unfolded over the last year. Yet, the company's stock price has survived relatively unscathed. In Jan '19, Boeing released stellar earnings of $5.63/share, the stock bounced up from $360 to $445 in a little over a month - an increase of 23%. Shortly thereafter, the stock plummeted back to $360 as the drama of the MAX 737 unfolded. Even the relatively good earnings report in Q1 of '19 wasn't enough to help the stock break out of it's range. The best bull market in the last 20 years coupled with earnings in Q2 and Q3 (despite beating estimates by a sizable amount in Q2, and a narrow miss in Q3) still only helped the stock track sideways. The 737 MAX scandal is finally coming home to roost, and the stock is likely to pay the price for it in the coming month. As the chart above shows, the ratio of earnings (in quarters where positive earnings occurred) has steadily increased to 3x the original level scene during the stock's best quarter. A 71% drop in revenues has been followed by a mere 29% drawdown in the price. If the 737 Max problem was squarely in the rear-view mirror, then perhaps a good earnings report could revitalize the stock and reverse the past 3 month downtrend. Based on past price action during earnings, $BA has a major correction coming. With many analysts already saying we are entering a market-wide correction (while some try to hide it behind the coronavirus), any type of market-wide correction would accelerate the sell off. In addition, institutional investors have been liquidating their positions on a 2.5 sell to buy ratio. Here are some price targets: Earnings Beat & Max 737 Cleared to Fly before March (aka...the impossible): +8-10% Earnings Miss & Max 737 Cleared to Fly before June: Flat to +3% Earnings Beat > $3 vs $1.73 est - Max 737 returns to service by summer: -3% to Flat EXPECTED: Earnings Beat < $3 vs $1.73 est & More 737 Runaround: -7.5% Earnings Miss & More 737 Runaround: -8% to -10% Variation to estimates coincide w/ relative market movement overall: Expected scenario: Market up .3-.5% lessens impact of Earnings beat < $3 w/ no definitive date of Max 737 return to service: -7% to -7.2%
NYSE:BAShort
by DontListenToThisClown
1
SOLD MY Boeing position at 325,26 too much downside pressure !! I decided after keeping the stocks a while hoovering the 340 wish limits and making money selling at the money calls I don't think this game is worth it anymore as the downside risk is much greater in the short term especially if the airline scheduled the flight back in June Dont expect the 737 MAX to be scrapped this is too much of a blow politically against one of the US symbol such as Boeing , the 737 Max will fly again But short term I can see the 320 support breaking down so better come back when visibility is clearer , on my watchlist
NYSE:BAShort
by PhilippeDelpCFA
5
$BA is in an important zone$BA has overshot almost every conceivable range in the past few years. Lately, due to time constraints, I have been trying to scope out longer time frame opportunities. So, I'm trying to train myself to start large, zoom in, make assessments, and then be patient for the right opportunity. Starting from a 1M chart, here is what I see: The previous expanding wedge was absolutely smashed to pieces, with $BA soaring from $156 in Dec of '16 all the way to above $400 in the past 4 months. Let me preface the rest of this post with this: I expect $BA to have more of a retrace from these levels, back to the $260 zone in the next 12-18 months. Right now, the monthly RSI is pretty oversold, but that doesn't mean the price has to go up. In fact, a zoom into the weekly tells us the near-term is likely up: Depending on how this weekly candle closes tomorrow, it may be bullish (near term). But I wouldn't expect it to get too far above the 200ema on the 1D any time soon. Note that weekly RSI is also a bit oversold and may be in need of some relief. However, it's important to note the line of support we are teetering on right now. If this line is broken, you can expect some red waterfalls to more stable price levels where buyers will step in. A zoom into the daily time frame shows us very clear indecision in the market - with $BA being range-bound between roughly $320 and $380 since making its massive ascent from the $160 range to above $300 in Dec 2017. I also think it's important to note the symmetry in this structure. On both the weekly and the daily, the first and second half of the range are very similar in structure. Essentially, in the coming months, I will be waiting to see a daily close below this price range in order to go short. If this trade is executed, the price levels I'm targeting are $291 and $265: Will update this idea as time goes on.
NYSE:BA
by UnknownUnicorn3126937