BA: Triple Bottom at Support with RSI Bullish DivergenceThe Boeing Company is attempting to confirm a Triple Bottom with RSI Bullish Divergence at the $200 Support Zone. If it plays out I think we could go back up to the 0.236 up at $212 and if we really get traction here, I'd suspect it'd g for the gap fill up at the 0.786 retrace aligning with the $250 level.
It's also worth noting that Boeing filled a downside gap as it pushed down into the support zone, so it's possible that will be the extent of the current wave down.
Boeing
Boeing: Approach for a Landing 🛬In line with our primary scenario, the Boeing stock price is pitching further downward. Soon, the magenta wave (2) should find its completion above the $176 mark. Subsequently, we expect rises above the resistance at $267.54. However, this primarily anticipated uptrend could be interrupted halfway. If the price reverses before reaching the resistance at $267.54 and falls below the $176 mark (37% likely), we will have to assume that it will land in our dark green Target Zone between $172.25 and $130.78.
Boeing's Medium-Term Challenges: Implications for InvestorsBoeing, a cornerstone of the aerospace industry, has outlined ambitious targets for 2025/2026, aiming for a multiyear uptick in airplane production and substantial improvement in its defense sector. However, challenges in meeting these milestones have surfaced, prompting investors to reassess the stock's trajectory and long-term potential.
Management's vision for 2025/2026 includes achieving $10 billion in free cash flow (FCF) after deducting capital spending, a target crucial for Boeing's financial health and investor confidence. Yet, recent setbacks, including manufacturing quality issues and delays in Boeing 737 deliveries, have cast doubt on the feasibility of these goals.
The delay in reaching these targets is not solely due to supply chain disruptions but also stems from persistent manufacturing quality problems, exemplified by recent incidents like the Alaska Airlines flight panel blowout. These challenges have prompted management to postpone 2024 guidance, signaling potential hurdles ahead.
Furthermore, Boeing Defense, Space, and Security (BDS) have consistently reported losses, adding another layer of complexity to Boeing's roadmap. While industry peers face similar margin pressures, Boeing's reliance on fixed-price development programs in a challenging economic environment exacerbates the situation.
Despite these setbacks, Boeing's CFO remains optimistic about reaching the $10 billion FCF target, albeit acknowledging potential delays. The timing of achieving this milestone carries significant implications for investors, with projections suggesting a potential stock return of up to 56% if achieved by 2025.
However, Boeing's current debt obligations underscore the urgency of achieving these targets for debt repayment and future investments. CEO David Calhoun's indication of a new Boeing plane not before 2035 emphasizes the importance of maximizing FCF in the interim.
While Boeing's long-term prospects remain promising, investors must consider the timing nuances of its FCF generation and operational challenges. Other aerospace stocks may offer better short-term prospects, highlighting the need for Boeing to demonstrate consistent operational performance to regain investor confidence.
In conclusion, navigating Boeing's medium-term challenges requires a careful assessment of its ability to overcome manufacturing hurdles and achieve its FCF targets. While the stock holds long-term potential, addressing current setbacks is essential to reinforce investor trust and pave the way for future growth.
Boeing Faces Battle as 737 Max Concerns Halt 2024 Guidance
Boeing ( NYSE:BA ), one of the world's leading aircraft manufacturers, has navigated a turbulent fourth quarter marked by a narrower-than-expected loss and a subsequent surge in stock value. However, the company now faces fresh challenges as it suspends forward guidance for 2024 amid safety concerns following a mid-flight incident involving a Boeing 737 Max 9 aircraft. In the aftermath, Boeing's CEO, Dave Calhoun, emphasizes a renewed commitment to quality control and customer support.
Mixed Fortunes in Q4 2023
Boeing ( NYSE:BA ) reported a smaller loss than anticipated for the fourth quarter of 2023. Despite the challenging aviation landscape, the company's revenue of $22.02 billion exceeded analyst expectations. The net loss of $30 million represents a marked improvement compared to the $663 million loss reported for the same period in the previous year. Earnings per share also demonstrated progress, narrowing from a loss of $1.75 to 47 cents per share.
Suspension of Forward Guidance
Despite the positive financial report, Boeing has decided to suspend its forward guidance for the year 2024. The decision comes on the heels of a mid-flight incident involving a Boeing 737 Max 9, raising safety concerns and prompting a cooperative investigation with the Federal Aviation Administration (FAA). The move indicates the seriousness of the situation and reflects Boeing's ( NYSE:BA ) commitment to addressing potential issues before providing investors with future projections.
Production Adjustments and Quality Control Focus
In light of ongoing safety concerns, Boeing ( NYSE:BA ) has announced production adjustments to its flagship 737 MAX and 787 Dreamliner models. The company plans to cap 737 MAX production at 38 planes per month until the FAA completes its quality checks. Simultaneously, Boeing ( NYSE:BA ) will maintain a production rate of five 787 Dreamliners per month, with an eventual increase to 10 per month.
Boeing's CEO, Dave Calhoun, emphasized a company-wide commitment to improving quality control. In a message to employees, Calhoun stated, "We will simply focus on every next airplane while doing everything possible to support our customers, follow the lead of our regulator, and ensure the highest standard of safety and quality in all that we do."
Stock Market Response
Boeing's ( NYSE:BA ) stock witnessed a brief surge, rising over 3% in early trading following the Q4 earnings report. However, the stock has experienced a notable downturn, losing more than 17% of its value over the past month. The market's response indicates investor caution as the company grapples with safety concerns and the suspension of forward guidance.
Conclusion
Boeing's ( NYSE:BA ) recent financial performance reflects a mixed picture of resilience amid adversity. While the fourth-quarter results show improvement, the suspension of 2024 guidance underscores the gravity of the safety concerns surrounding the 737 Max series. Boeing's commitment to quality control and cooperation with regulatory authorities will undoubtedly shape its path forward. As the aviation giant faces a challenging period, stakeholders eagerly await developments and the company's strategic responses to ensure a safe and prosperous future.
BA The Boeing Company Options Ahead of EarningsIf you haven`t bought the dip on BA before the previous earnings:
Then analyzing the options chain and the chart patterns of BA The Boeing Company prior to the earnings report this week,
I would consider purchasing the 202.5usd strike price Puts with
an expiration date of 2024-2-16,
for a premium of approximately $5.15.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Boeing: Descent to $130Overview
Boeing ( NYSE:BA ) has had a rough several years due to the controversy surrounding its MAX series. Just recently, an incident occurred during a flight on the West Coast where a part of the fuselage blew off during an ascent and required a prompt emergency landing. Fortunately everyone onboard made it safely back to the airport. This follows years after the two fatal Boeing MAX crashes in 2018-2019.
Technical Analysis
This is a new one for me. The BA 1D chart doesn't reveal any obvious patterns and, if anything, was in the process of forming an ascending triangle which is bullish. In light of the breaking news I am fairly confident that the ascending triangle will become invalid then transform into a months long descending triangle.
Utilizing Fibonacci retracement levels, I am expecting decent support around $130. Of course there will always be plenty of opportunity for scalping in-between now and then as the current share price is sitting around $249.
Fundamental Analysis
I will assess the balance sheet and provide a fundamental analysis sometime this weekend. However, I don't believe even a good balance sheet will alleviate the coming selling pressure. The markets are reactive to news and a healthy balance sheet would only mean certain recovery at a later time.
Is Boeing a buy before earnings? LONGThis is a daily Boeing chart with the idea on the chart in the text. There may be a good entry
before earnings using a stop loss under the POC line and an ultimate target of the projected
trendline resistance at $280-$300 if all goes well fundamentally with an FAA investigation
and its sequelae. A megaphone pattern demonstrates increasing volatility in price action which
is something some traders take to the bank. My analysis is that this may be a safe swing trade
until the report of the 24Q2 earnings in about 100 days.
Akasa Air's Ambitious Boeing Order Positions India for GrowthIndia's emerging airline, Akasa Air, has placed a historic order for 150 Boeing 737 MAX planes, signaling a significant leap forward in the country's aviation sector. The CEO of Akasa Air, Vinay Dube, announced the purchase of 737 MAX 10 and 737 MAX 8-200 jets, emphasizing the company's commitment to becoming one of the top 30 leading airlines globally.
This move is a significant boost for Boeing ( NYSE:BA ), especially amid the recent global scrutiny surrounding its 737 MAX 9 jet after a panel incident on an Alaska Airlines flight. Akasa Air's strategic decision to exclude the MAX 9 from its order demonstrates a cautious approach, aligning with India's aviation regulator's recent affirmation of the satisfactory completion of checks on the 737 8 MAX aircraft.
The order is not only a testament to Akasa's confidence in Boeing ( NYSE:BA ) but also highlights India's emergence as a major player in the aviation market. Civil Aviation Minister Jyotiraditya Scindia praised the landmark order, celebrating Akasa Air as the first Indian airline to achieve a firm order book of over 200 aircraft within just 17 months of operations.
India, now the third-largest buyer of planes globally, is experiencing remarkable growth in its civil aviation sector. Speaking at the "Wings India" aviation conference, Minister Scindia expressed optimism about India's aviation trajectory, emphasizing its role as a key driver of economic development, social progress, tourism, trade, and job creation.
Prime Minister Narendra Modi's ambitious goal of constructing 80 airports by 2025 aligns with the surging demand for air travel in the country. With the aviation market becoming fiercely competitive, global aerospace giants are actively pursuing opportunities in India, given its status as the world's fifth-largest economy and one of the fastest-growing air travel markets.
Akasa Air, translating to "sky" in Sanskrit, is positioning itself as an ultra-low-cost carrier, aiming to offer tickets at prices lower than its competitors. This unique market approach, coupled with its substantial Boeing order, reflects the airline's determination to capture a significant share of India's burgeoning middle-class travel market.
As India continues its upward trajectory in the aviation industry, the government's commitment to infrastructure development and the increasing demand for air travel are propelling the nation into a prominent position on the global aviation stage. Akasa Air's ambitious Boeing ( NYSE:BA ) order exemplifies India's resilience and potential for exponential growth in the civil aviation sector.
JBLU Bullish after JetBlue - Spirit merger was BlockedJetBlue's $3.8 billion buyout of Spirit Airlines was blocked by a judge, citing a threat to competition!
After the news, SAVE went down, while JBLU surged from $4.54 to $5.45! However, today it continued the 6 month downtrend and closed at $4.68.
This might seem like business as usual on Wall Street, except for the presence of some aggressive blocks of calls with strike prices of $6 and $7 on JetBlue's options chain, across multiple expiration dates!
The most commonly chosen expiration date was February 16, following the earnings release. This leads me to believe that we might witness excellent results from the upcoming earnings report.
JBLU was trading at $9.45 just 6 months ago. Its decline was not due to fundamentals but rather on the potential buyout of SAVE. Now that the deal is off the table, I expect JBLU to rise back up.
I'm extremely bullish on JBLU ahead of earnings!
$BA Boeing Gap Fill 50% RetracementNYSE:BA Boeing Gap Fill 50% Retracement on the weekly chart. In technical analysis, the term "Boeing Gap Fill" refers to a situation where the price of Boeing's stock retraces or fills a gap that occurred in the past on its weekly chart. Specifically, the focus here is on a 50% retracement.
A gap occurs when the price of an asset moves sharply up or down, creating a noticeable empty space or gap on the chart. In this context, the analysis is centered on Boeing's stock, and the goal is to observe how the price retraces approximately 50% of the previous gap movement on the weekly chart.
Traders and analysts often use retracement levels, such as 50%, as potential points of interest for market reversals or continuation of trends. The interpretation of a 50% retracement would suggest that half of the initial gap has been filled, and traders may assess this level for potential support or resistance.
Please note that specific technical analysis tools and indicators can be used to further analyze and confirm potential trading decisions based on the observed Boeing Gap Fill and 50% retracement on the weekly chart.
BOEING, CAN A 747 REACH THE MOON?meh, idk. probably not.
Something is weird with defense stocks.
I like the potential of the upside to see those gaps close.
There is support on the bottom side.
Gaps are closed on the bottom side.
Indicators are turning to favor bulls.
However, there may be some quick downside on these steep short term trends in red.
Green Triangle is likely a long term buy zone, with potential to hit as low as 145. However, I have no idea if that is before or after 300+
After that, if we break that support trend (thickest green), watch out for the movement to 92.
A movement like that would be similar to a covid drop and return.
Earnings is likely to flip price action.
Drop into earnings, and price targets hitting as support is a buy.
Pump into earnings without breaking out over rejection trends, and rejection targets is a sell.
Any feedback on the charts as far as simplicity to understand?
Do you prefer candles or the line? I use candles to TA, but I've found better feedback with the line chart, which I'm happy to keep doing.
Website update,
idk which direction I want to head with it.
$BA Fibonacci Re-tracement SupportThe phrase " NYSE:BA Fibonacci re-tracement support" suggests that technical analysis using Fibonacci retracement levels is being applied to Boeing's stock ( NYSE:BA ). Fibonacci retracement is a tool used by traders and analysts to identify potential levels of support or resistance in a financial instrument's price movement.
In this context:
- " NYSE:BA " represents Boeing's stock ticker symbol.
- "Fibonacci retracement" refers to a method of technical analysis that involves plotting horizontal lines on a chart to identify potential levels where the price may experience support or resistance based on key Fibonacci levels (e.g., 38.2%, 50%, 61.8%).
Therefore, " NYSE:BA Fibonacci retracement support" implies that analysts are looking at the Boeing stock chart and identifying specific Fibonacci retracement levels that might act as support for the stock's price. These levels could be considered potential buying points or areas where the stock might find stability after a price decline.
Keep in mind that technical analysis, including Fibonacci retracement, is just one tool among many used by traders and investors. It's important to consider various indicators and perform a comprehensive analysis before making any trading decisions.
Alaska Air Group: Double BottomOverview
Alaska Airlines is a subsidiary for Alaska Air Group. If you aren't familiar with the verbiage, this means that Alaska Air Group ( NYSE:ALK ) is the umbrella company that owns Alaska Airlines. In light of the Boeing ( NYSE:BA ) mishap that occurred yesterday in Oregon and in addition to the current trend on ALK's 1D chart, I believe ALK will correct to $30-31.
Technical Analysis
According to the 1D chart, ALK has been on the trajectory of a double bottom since July 2023. The last dip in the double bottom formation rests around $30-31 which I believe will approach sooner than expected due to ALK's grounding of an entire fleet of Boeing 737 MAX-9s. As long as nothing else negative comes to light, I believe ALK will begin its rise to $57 sometime after arriving around the second dip of the double bottom.
Market Psychology Speculations
I believe Boeing will catch most of the negative press but that doesn't mean Alaska Air Group is off the hook. Because ALK's subsidiary has also been in the headlines, I think the double bottom is going to accelerate. Alaska Airlines has received bad press twice in the last 12 months for narrowly avoiding aircraft-related catastrophes; the first concerning an off-duty pilot that attempted to cut off the engines mid-flight.
All that said, after the initial dust has settled, I believe the markets will forgive ALK and a potential recovery will begin. Kudos should be given for having the proper procedures in place that helped return both aircrafts back to the ground safely without incident. The next major factor that needs to be considered is how the grounding of an entire fleet will affect their balance sheets for the upcoming Q4 Earnings Call.
Fundamental Analysis
I will perform a fundamental analysis within the next few days. Due to market reactivity I don't believe a healthy balance sheet will cushion the share price until after the Q4 Earnings Release.
Boeing's 737 Max Woes Deepen: A Gaping Hole Raises New Concern
Boeing, the aviation giant, is once again under intense scrutiny as its best-selling plane, the 737 Max, faces fresh safety concerns. The recent incident involving an Alaska Airlines jetliner, where a gaping hole appeared mid-flight, has prompted federal officials to issue a temporary grounding of some Boeing 737 Max planes. This emergency order by the Federal Aviation Administration (FAA) affects approximately 171 planes globally, dealing another blow to Boeing's beleaguered Max lineup.
The Incident:
On Friday, an Alaska Airlines Boeing 737 Max 9 experienced a terrifying mid-air incident, with a window panel blowing out just seven minutes after takeoff from Portland, Oregon. The sudden loss of cabin pressure resulted in oxygen masks dropping, and a child's clothes being pulled off due to the rapid decompression. Despite the harrowing ordeal, the pilots managed a safe emergency landing, and all 171 passengers and six crew members emerged unharmed.
Grounding and Inspections:
In response to the incident, the FAA mandated immediate inspections of Max 9 planes operated by U.S. airlines or flown in the United States by foreign carriers. Alaska Airlines swiftly grounded its entire fleet of 65 Max 9s for inspections and maintenance, causing disruptions to its schedule. United Airlines, which inspected 33 of its 79 Max 9s, reported around 60 canceled flights due to the grounding.
Potential Impact on Boeing:
The extent of the damage to Boeing's reputation and brand hinges on the outcome of investigations into the cause of the blowout. If the incident is linked to a manufacturing issue, Boeing may face increased pressure to revamp its processes, potentially slowing down the delivery of new planes.
This incident comes on the heels of the Max lineup's troubled history, with two deadly crashes in 2018 and 2019 leading to a global grounding for nearly two years. Boeing's rush to get the Max approved quickly and questions about safety procedures resulted in a $2.5 billion settlement with federal prosecutors in 2021.
Ongoing Challenges for Boeing:
Boeing has estimated that fallout from the previous crashes has cost the company over $20 billion. Despite settling with most families of crash victims, the Max has faced additional challenges, from delays due to supplier issues to concerns about the anti-ice system and loose bolts in the rudder-control system.
Conclusion:
Boeing finds itself at a critical juncture once again, grappling with renewed safety concerns surrounding its 737 Max planes. The company's response to the investigation findings and the corrective measures it implements will significantly impact its reputation and future sales. As aviation authorities delve into the incident, the broader aerospace industry watches closely, mindful of the potential ripple effects on Boeing's standing as a leader in commercial aviation.
Boeing Stairsteps for Swing TradingNYSE:BA has the most powerful and longest momentum run of all of the 30 Dow components. The company reports earnings on January 24th and the run up implies that the 4th quarter is likely to be better than previous quarters in 2023.
This stock has moved strongly since the bottom in November and has been able to pattern out some of the speculation with stairsteps to keep the run moving upward beyond the resistance level of its range trend.
Some of this movement upward is ETF developers building more ETF units for certain industries and corporations.
Profit-taking is likely soon for this swing trade as it nears the long-term resistance at the 2021 highs. However, there is now support from the range of the August highs.
Boeing and US Partner To Boost Sustainable Aviation Fuel In APECBoeing (NYSE:BA), in collaboration with the U.S. Department of Transportation and the Federal Aviation Administration (FAA), has taken a significant step towards environmental sustainability by spearheading an initiative to increase the use of Sustainable Aviation Fuel (SAF) across Asia-Pacific Economic Cooperation (APEC) nations. This move aligns with the International Civil Aviation Organization's (ICAO) goal of achieving net-zero carbon emissions by 2050.
The aerospace giant has outlined a comprehensive strategy to overcome the current limitations of SAF, which currently accounts for only 0.1% of international jet fuel consumption. Recognizing the urgent need to scale up SAF supplies, Boeing's Chief Sustainability Officer Chris Raymond highlighted the importance of this initiative for meeting environmental targets in aviation.
Boeing is not only advocating for policy changes but is also actively involved in various collaborations to educate stakeholders about sustainable aviation fuels. These efforts include researching innovative technologies alongside Zero Petroleum, exploring bio feedstock opportunities worldwide, supporting Japan's ACT FOR SKY program for domestic SAF commercialization, and aiming to ensure its fleet is fully compatible with SAF by 2030.
The company has already made substantial progress by incorporating over 7 million gallons of SAF into its commercial operations. This initiative within APEC, supported by the U.S., represents a broader commitment to sustainable energy practices and is part of Boeing's participation in the World Energy Council's initiatives.
Through these efforts, Boeing and its partners aim to empower APEC member states with the tools and knowledge necessary to transition towards a more sustainable aviation industry, thereby contributing significantly to global efforts to reduce carbon emissions in air travel.
Price Momentum
BA is trading in the middle of its 52-week range and near its 200-day simple moving average.
What does this mean?
Investors are still evaluating the share price, and the stock is still trying to generate some momentum. This is a Positive sign for the stock's future value.
BOEING: This breakout will be a Christmas gift to buyers.Boeing opened much higher today, turned overbought on the 1D timeframe (RSI = 70.408, MACD = 1.220, ADX = 33.303) and is about to hit the 1D MA200 for the first time in two months. Since the long term pattern is a Channel Up, dated back more than one year, a candle close over the 1D MA200, will be a bullish extension signal much like November 7th 2022. If it happens, it will be a pre-Christmas bargain, buy and target the R1 level (TP = 243.00).
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Boeing (NYSE: BA) Secures $11 Billion Deal.Boeing (BA) shares are climbed today after the company secured major deals with Emirates Airline. Emirates agreed to purchase 90 Boeing 777 jets valued at $52 billion, while sister airline Flydubai will add 30 Boeing 787 Dreamliners to its fleet in an $11 billion deal.
This deal comes as Emirates faces increasing competition in the Middle East, including from Turkish Airlines which plans to add 600 new planes to its fleet. The deals were announced at the Dubai Air Show amid declining travel demand in the region resulting from the Israel-Hamas conflict.
Technical Analysist
Price Momentum
BA is trading in the middle of its 52-week range and below its 200-day simple moving average.
What does this mean?
Investors are still evaluating the share price, but the stock still appears to have some downward momentum. This is a negative sign for the stock's future value.
Boeing Company: The Underpressured PathBoeing results topped analyst expectations Wednesday thanks to a pickup in commercial aircraft deliveries as the manufacturer increases production, but losses in its defense and space businesses drove the manufacturer into the red for the quarter.
The company generated $2.6 billion of free cash flow in the second quarter, ahead of analyst forecasts, and reiterated its full-year guidance of between $3 billion and $5 billion of free cash flow.
Boeing shares surged 12.70% just in a week, and closed on Friday at $238.69, the stock’s highest closing price since November 2021.
Here’s how the company performed during the period ended June 30, compared with Refinitiv consensus estimates:
👉 Adjusted loss per share: 82 cents vs. 88 cents.
👉 Revenue: $19.75 billion vs. $18.45 billion
👉 Boeing and main rival Airbus have both struggled to increase aircraft production in the wake of the Covid pandemic as some airlines face longer waits for new jets, just as travel demand rebounds.
The company delivered 136 planes in the second quarter, up from 121 aircraft during the same period last year.
Meanwhile just a take a look what historically happened with Boeing stocks, almost every time after 10+ percent weekly advance. In simple words - that's been a flat, or even more than 10 percent decline.
Technical picture indicates that Bearish trend still is in power in NYSE:BA stocks, and 5yrs SMA is still a huge resistance.
BA The Boeing Company Options Ahead of EarningsIf you haven`t bought the dip on BA here:
Then analyzing the options chain and the chart patterns of BA The Boeing Company prior to the earnings report this week,
I would consider purchasing the 182.50usd strike price Calls with
an expiration date of 2023-11-3,
for a premium of approximately $5.05.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
Looking forward to read your opinion about it.
Spirit AeroSystems, Abbott Labs earningsSpirit AeroSystems (SPR) shares soar, closing Wednesday by over 23% higher, on a new collaborative agreement with Boeing (BA). Health care company Abbott Labs (ABT) beats its third-quarter earnings estimates and raises its forecast on the mass adoption of weight loss drugs.