NOC WCA - Head and Shoulders PatternCompany: Northrop Grumman
Ticker: NOC
Exchange: NYSE
Sector: Defense
Introduction:
Hello, and thank you for reading this analysis. Today, we focus on Northrop Grumman (NOC) on the NYSE. The weekly chart shows a potentially significant head and shoulders pattern that deserves our attention.
Head and Shoulders Pattern:
The head and shoulders pattern is a classic chart formation that can indicate either a bullish continuation or bearish reversal, depending on its orientation and the preceding trend. In this case, the pattern has formed over 441 days, making it noteworthy.
Analysis:
The NOC chart shows a clear uptrend, as demonstrated by the green upward sloping line and the position of the price above the 200 EMA. Both of these factors contribute to a bullish sentiment.
However, the formation of the head and shoulders pattern introduces an element of uncertainty. The neckline of this pattern, which currently acts as support, is at 431.61. A break below this level could signal a bearish reversal, offering a potential shorting opportunity.
On the other hand, a break above the right shoulder could indicate a continuation of the bullish trend. Given the existing uptrend and the position above the 200 EMA, the probabilities currently favor a continuation.
Conclusion:
In summary, Northrop Grumman's weekly chart presents a head and shoulders pattern within an uptrend, offering potential trading opportunities in both directions. Therefore, this is a chart to watch closely in the coming days.
As always, it's important to manage your risk appropriately and ensure that any trading decisions align with your overall investment strategy.
Please note that this analysis does not constitute financial advice. Always conduct your own research before making investment decisions.
If you found this analysis helpful, please like, share, and follow for more updates. Happy trading!
Best regards,
Karim Subhieh
Defense
PLTR set your alerts and wait!such a neat 2 bottoms, long term downtrend resistance is almost falls in to the same are of the neckline. set the alerts and wait!
$PLTR is looking good! Fundamentally & technically w/tailwindsTaking a look at PLTR in this video! Been a long time since I made a video.
Let me know if you have any suggestions!
LHX | Oversold Defense Play | BounceL3Harris Technologies, Inc., an aerospace and defense technology company, provides mission-critical solutions for government and commercial customers worldwide. The company's Integrated Mission Systems segment provides multi-mission intelligence, surveillance, and reconnaissance (ISR) systems; and communication systems, as well as fleet management support, sensor development, modification, and periodic depot maintenance services for ISR and airborne missions. It also manufactures and integrates mission systems for maritime platforms, such as signals intelligence and multi-intelligence platforms; unmanned surface and undersea autonomous solutions; and power and ship control systems and other electronic and electrical products and systems. In addition, this segment offers advanced electro-optical and infrared solutions. Its Space and Airborne Systems segment offers space payloads, sensors, and full-mission solutions; classified intelligence and cyber defense solutions; mission avionics; and electronic warfare systems. The company's Communication Systems segment provides tactical communications; broadband secured mobile networked communication equipment, including airborne, space, and surface data link terminals, ground stations, and transportable tactical satellite communication (SATCOM) systems for use in manned aircraft, unmanned aerial vehicles, and naval ships; and helmet and weapon mounted integrated night vision systems. This segment also offers radios, systems applications, and equipment for critical public safety and professional communications; and SATCOM terminals and battlefield management networks. Its Aviation Systems segment offers defense aviation products; commercial pilot training; and mission networks solutions for air traffic management. The company was formerly known as Harris Corporation and changed its name to L3Harris Technologies, Inc. in June 2019. L3Harris Technologies, Inc. was founded in 1895 and is headquartered in Melbourne, Florida.
Bearish AB=CD on the SPDR Select Industrial Sector ETFThere is a Logscale AB=CD on the Industrials with Bearish RSI Divergence and the 1.414 PCZ of the Logscale AB=CD aligns with the 1.618 on the Linear Scale. I think it would be fitting to see this go down as i have recently become Bearish on Defesne Stocks such as RTX and HON, and have also become bearish on Airline Stocks such as BA and those stocks all happen to be in the top 10 holdings of this ETF so if they go down this ETF will go down. The standard Target for an ABCD like this is back to the C level which is around $47 in this case but for the time being i will target $80 via buying of the $90 Puts that are several weeks out.
Overhyped Defense Stock Trading at over 670x EPSWe have another Overhyped Defense Stock trading well above EPS ; This time trading well over 600 times earnings while the price is breaking below trend. It could be argued that we have an Inverted Cup with Handle at the Highs and if 46 Breaks we could quickly come down to $18 a Share but due to how high the PE is i wouldn't even be against targeting the 1.618 Extension all the way down at 72 Cents.
Raytheon Technologies: 3 Line Strike at PCZ of Bearish CypherThe Defense Sector in general seems to be overhyped as if it expects earnings not to matter anymore but the PE/Ratios keep rising as if it's betting on the US to enter a direct armed conflict rather than reality which is that we are simply just providing old unused equipment to the Ukraine. I think in the near future the market will realize this and we will see prices on these kinds of stocks got lower as the PE Ratios compress just like every other speculative growth stock has done during the cycle.
Lockheed Martin Bull PennantThis is a monthly chart of the defense company Lockheed Martin (LMT).
As you can see, a bull pennant is appearing.
In my experience, I have found that the most valid bull flags or pennants usually retrace back to the Golden Ratio (0.618), then bounce and continue higher (see below chart).
When this occurs, the measured move up is typically one full Fibonacci spiral from this retracement level, which usually occurs over a period of time that is about the same as the period of time it took the bull flag or pennant to form (see below chart)
The above chart suggests that LMT could climb into the 500s or as high as about 600 by the second quarter of next year. The best time to enter a trade would probably be after the seasonal volatility ends, and after a breakout occurs on some lower timeframe.
From a regression standpoint, this bull pennant formed when price rose from the mean to the 1 standard deviation, and retraced to the 0.5 standard deviation. If it pans out, the measured move may reach one full standard deviation higher (to the 1.5 standard deviations). See below chart.
To learn more about the log-linear regression channel that I used here, you can check out my prior post that described it in more detail:
Obviously, anything can happen. Not trading advice. Please do your own research and trade at your own risk. If you disagree, I welcome respectful comments and charts below.
Disclosure: I have no trade position in LMT and do not plan to open any trade at the current time.
not full blown recession... yetWatching the 3 mo and 2 year very closely. I think this is an indicator for a recession and not the 2 and 10's because it shows more that the short term risk is outweighing anything mid term.
Everything is is wishy washy with definitions now a days lol but this is going to be the icing on the cake for confirmations.
Looking at the dollar strength we had a little pullback buts its ready to resume higher putting more weakness on emerging markets and currencies and also US equities.
Looking at UVXY and the VIX i think that the 20 range for the vix is a newer normal in this market environment though UVXY is going really low now and almost oversold on the daily compared to where we are at in this little "recovery" thats been taking place.
a lot to digest in the macro perspective and we'll see what the terminal rate will end up being for the FED. exciting times.
That's all folks.
Hypersonic Rocket to the moon: NOCNOC has been consolidating below the 490$ resistance since march.
Technical Indicators are nowhere near overbought, while price action contracted.
Once it expands, there could be a massive pop upwards, since fundamentally there are just too many good things to ignore.
Stock looks like a prototypical William O‘Neill break out candidate.
I‘m long.
No financial advice.
6/5/22 LMTLockheed Martin Corporation ( NYSE:LMT )
Sector: Electronic Technology (Aerospace & Defense)
Market Capitalization: 117.803B
Current Price: $442.69
Breakout price: $446.45
Buy Zone (Top/Bottom Range): $439.40-$426.40
Price Target: $474.40-$485.30 (3rd)
Estimated Duration to Target: 70-73d (3rd)
Contract of Interest: $LMT 9/16/22 445c
Trade price as of publish date: $21.35/contract
LMT Autumn Reversal 🔼Lockheed Martin (LMT) NYSE:LMT made a stand at long-term support of 335. Although it is beneath the long-term pennant, the bullish engulfing candle on Wednesday, September 22 indicates a potential continuation candle back inside the pennant. If this occurs, the potential for a breakout into the October 25th earnings is very likely. Not to mention, the defense sector has been lagging over the course of the last 3 months, presenting another catalyst for a bullish position.
5 Defense stocks you might want to look at in WW3Here are 5 stocks that could profit from the Russia Ukraine Conflict!
Intro:
The Russian-Ukrainian conflict, which began on November 21, 2013, following the Ukrainian government's decision not to sign the association agreement between Ukraine and the European Union, is a diplomatic and military
conflict between Russia and Ukraine.17 The conflict was sparked by a series of large-scale demonstrations that led to the flight and subsequent removal of Ukrainian President Viktor Yanukovych, who was replaced by Oleksandr
Turchynia.
Large-scale demonstrations then broke out and led on February 22, 2014 to the flight and subsequent removal of Ukrainian President Viktor Yanukovych, who was replaced by Oleksandr Turchynov. A new government, led by Arseni
Yatsenyuk, is put in place.
In response, Crimea declared its independence and voted to join Russia, a move that was recognized by Russia, causing an international diplomatic crisis. Several other Ukrainian provinces with large Russian-speaking populations,
notably Donbass, experienced similar uprisings and in turn organized referendums on self-determination in order to separate themselves from the Ukrainian government in place. The later events led to the war in Donbass, with
Russia, the border country, being accused of providing military support to the insurgents by waging a hybrid war there.18,19
On July 17, 2014, a Malaysia Airlines flight carrying 298 passengers from Amsterdam to Kuala Lumpur was shot down in mid-air near the Russian border while flying over the Donbass. There were no survivors. The destruction of this
civilian plane amplifies the diplomatic crisis, the Ukrainian army and the pro-Russian separatists accusing each other.
On February 21, 2022, as part of the Russian-Ukrainian war of 2021-2022, in a televised address, Russian President Vladimir Putin announced Russian recognition of the independence of the self-proclaimed Donetsk and Lugansk
People's Republics and Russian armed forces invaded eastern Ukraine controlled by pro-Russian separatists.20,21 On February 23, Russian President Vladimir Putin announced that he was going to invade the eastern part of Ukraine
and that he was going to take over from the pro-Russian separatists.
On February 23, President Vladimir Putin announced the launch of a military operation in Ukraine. During the night of 23 to 24 February, the Ukrainian territory was bombed and Russian troops invaded the Ukrainian territory.
Stocks that could grow during WW3:
Lockheed Martin NYSE:LMT
Lockheed Martin is the world's leading U.S. defense and security company. Like its main competitors, it designs and produces a variety of products in which electronics and technology play a key role. In 2008, 84% of the company's sales were to the U.S. government, with the remainder primarily to other states.5 In 2010, of the 45.8% of the company's sales that were to the U.S. government, 84% were to other countries. In 2010, $17.3 billion of the company's $45.8 billion in sales came from contracts signed with the U.S. government ($10.9 billion in defense, $6.6 billion in civilian). The company products a large amount of combat planes and other defense engines, its role in ww3 would be very important and we could see the company benefit from diverse defense contracts in the future.
Boeing NYSE:BA
Boeing (official name: The Boeing Company) is an American aircraft and aerospace manufacturer. Its headquarters are located in Chicago, Illinois and its largest plant in Everett, near Seattle, Washington. This aircraft manufacturer specializes in the design of civil and private aircraft, but also in military aeronautics, helicopters and satellites and launchers with its Boeing Defense, Space & Security division. In 2012, it ranked second in military equipment sales worldwide5,6. The company is engaged in a commercial war in aeronautics with its main competitor, the European group Airbus Commercial Aircraft.
Boeing could be a discounted opportunity. The company is now playing a significant role in responding to Russian aggression via its RC-135 reconnaissance plane. While the monitoring of forces to provide real-world analytics is the primary goal, these flyovers serve a secondary purpose: Let the Russian military forces know that the eyes of the world are on them. It may not be the ultimate deterrent, but anything to help the situation from devolving into bloodshed is a positive.
L3-Harris Tech NYSE:LHX
When dealing with defense stocks amid tensions that could spill over into armed conflict, the natural instinct is to consider weapons systems and defensive platforms. Certainly, L3Harris Technologies features a broad range of air, land and sea-based solutions — even solutions that extend into space and the digital realm. However, communications is also a key component of warfare. Without the ability to coordinate offensive or defensive actions, a nation’s military force will not be utilizing its resources in the most effective and efficient manner possible. Considering that Ukraine will be grossly outnumbered in a hot conflict with Russia, efficiency is absolutely critical. Of course, the Russians are not unaware of this serious potential vulnerability. Inevitably, one of their actions in case of an invasion will be to cut off supply routes and disrupt communication lines. Therefore, the Ukrainian government’s relatively recent cooperation agreement with Harris Global Communications, a subsidiary of L3Harris, is significant. Irrespective of whether or not an armed conflict occurs in the coming days, the relationship between L3Harris and Ukrainian forces should grow closer.
Northrop Grumann NYSE:NOC
The U.S. government has already shipped weapons systems to Ukraine and authorized its European partners to send their own shipments. Now, Ukrainian forces have even more resources with which to defend themselves. Given this dynamic, tensions may rise higher. That’s where Northrop Grumman could come into play with its MQ-4C Triton drone. Specializing in real-time intelligence, surveillance and reconnaissance, the Triton can provide valuable information while keeping servicemembers away from harm.
United Tech - Raytheon Technologies NYSE:RTX
United Technologies Corporation (UTC) was an American multinational conglomerate headquartered in Farmington, Connecticut. It researched, developed, and manufactured products in numerous areas, including aircraft engines, aerospace systems, HVAC, elevators and escalators, fire and security, building automation, and industrial products, among others. UTC was also a large military contractor, getting about 10% of its revenue from the U.S. government. Gregory J. Hayes was the CEO and chairman. It merged with the Raytheon Company in April 2020 to form Raytheon Technologies. Raytheon has partnered with Lockheed on the Javelin Weapon System, the missile of the hour.
Marketed as an “anti-tank guided munition that can be carried and launched by a single person,” the Javelin offers serious implications for how the Ukrainians can defend themselves against a much larger enemy.
Credits to - xtekky -
2/13/22 RTXRaytheon Technologies Corporation ( NYSE:RTX )
Sector: Electronic Technology (Aerospace & Defense)
Market Capitalization: 142.598B
Current Price: $95.27
Breakout price: $94.60 (hold above)
Buy Zone (Top/Bottom Range): $94.50-$89.40
Price Target: $99.80-$100.60 (1st), $126.00-$127.40 (2nd)
Estimated Duration to Target: 48-52d (1st), 540-560d (2nd)
Contract of Interest: $RTX 3/18/22 100c, $RTX 1/20/23 100c
Trade price as of publish date: $1.26/contract, $7.15/contract
2/13/22 LMTLockheed Martin Corporation ( NYSE:LMT )
Sector: Electronic Technology (Aerospace & Defense)
Market Capitalization: 107.893B
Current Price: $396.19
Breakout price: $396.00 (hold above)
Buy Zone (Top/Bottom Range): $384.80-$369.85
Price Target: $416.00-$420.00 (1st), $434.00-$442.00 (2nd)
Estimated Duration to Target: 103-110d (1st), 211-221d (2nd)
Contract of Interest: $LMT 6/17/22 400c, $LMT 9/16/22 400c
Trade price as of publish date: $19.40/contract, $25.30/contract
ENG Fuel Handling Contract from Defense Logistics AgencyENGlobal Corporation (ENG) has been awarded a $4.4 million contract by the Defense Logistics Agency (DLA) to provide Automated Fuel Handling Equipment support.
This is quite bullish news for a stock that has a Market Cap of only 42.602Mil.
My price target for this year is the $3.5 resistance.