AAL trade ideas
AAL: It's flying today! How to proceed now?Hello traders and investors! It has been nearly 1 month since my last analysis about it, let’s see if AAL behaved the way it should.
First, in the 1h chart, AAL respected the key point we mentioned in my last analysis, the black line at $ 16.47 with an astonishing precision, and it hit it multiple times, without losing it. This point was a previous resistance, and it worked as a support, as we thought it would, thanks to the Principle of Polarity . And if you missed my last analysis, the link to it is below, as usual.
It triggered several pivot points , the last one at $ 18.82, and we have a little gap at the yellow area. If it gets filled this week, it could be an Exhaustion Gap , and this could create another congestion on AAL.
Right now, it is a little to buy it, as the optimal buy point was near the $ 16.47, and we are quite close to the target I mentioned last month, but since it is engaged in a bull trend, pullbacks to the 21 ema could offer some nice opportunities to buy too.
Now, let’s see the daily chart:
In the daily chart, AAL is heading to the target we mentioned in my last analysis, the $ 22.80, which is one of the previous resistances, and nothing unusual is happening here.
The volume decreased during last month’s accumulation, which is a typical trait of just an accumulation before the explosion, and the 21 ema is pointing up, evidencing the bull trend and working as a support level in the future. What’s more, the volume increased in the last 2 days, and today is finally above the 21 moving average I like to put in the volume as well.
These are good signs but be prepared for pullbacks, but they could offer an opportunity for the late buyers. Any pullback to the 21 ema in the daily cart as well could be a nice opportunity if you missed the entry point on AAL. And remember to follow me to keep in touch with my daily analyses on stocks and indices. And please, support this idea if you liked it!
Thank you very much.
American Airline.***Based on analysts offering 12 month price targets for AAL in the last 3 months.
The average price target is $14.14 with a high estimate of $20 and a low estimate of $10
Analyst Firms Making Recommendations
B OF A GLBL RES
COWEN & COMPANY
DEUTSCHE BK SEC
JEFFERIES & CO.
JP MORGAN SECUR
RAYMOND JAMES
SEAPORT GLOBAL
STIFEL NICOLAUS
WOLFE RESEARCH
Analyst
$14.14
*** Short interest is around 16 % as of 27.1.2021
2 day to cover.
No buying & selling kind of scary !!! or nothing worthy to take action for !!!
***Insider Ownership Percentage: 1.03%
Insider Buying (Last 12 Months): $0.00
Insider Selling (Last 12 Months): $0.00
Strong institutional ownership is an indication that hedge funds, large money managers
and endowments believe a company will outperform the market over the long term
Well AAL is at he bottom here !!! Hedges are not interested i guess !!!
****73.1% of Alaska Air Group shares are owned by institutional investors
-60.9% of United Airlines shares are owned by institutional investors
-59.5% of Delta Air Lines shares are owned by institutional investors
--44.4% of American Airlines Group shares are owned by institutional investors
***Period Ending: Dec 31, 2020 Dec 31, 2019 Dec 31, 2018 Dec 31, 2017
Total Assets 62008 59995 60580 52785
Total Liabilities 8875 60113 60749 53565
Total Equity -6867 -118 -169 -780
looks like a cup & holder/ target $26Please note: I'm just sharing my view. its not a recommendation for buying or selling.
AAL ideaAmerican Airlines has been bearish since 2018 and quite choppy over the past year. We managed to get in early an early entry on the 1st of June last year and it realized within 10 days (see below). The company's prospective is still not solid even though the recent earnings beat expectations. With the furloughs, lockdown restrictions, finance and debt repayment constraints, the company is faced with a difficult job ahead of them.
However, its load factor and efforts to restructure can be seen as a good attempt to some extent. The vaccine developments and distributions have been also positive. The price is above the 200MA and slightly on the 50MA. I would ideally like to see a strong breakout at this long downtrend ($21 level) or have it back around the $14 level for me to add it on my watchlist again. Those who are already in should hold and others must just wait patiently.
Airlines look like they have bottomedI think it's a great long term play. Major airlines are a big part of our economy/society, they are not going anywhere! You will easily get 100% + gains in 2-4 years!
Is this a good time to buy American Airlines???IMO: yes it is
Gain Potential:35-65%
Reward/Risk: 15
Timeframe: 1-6 months
Ready to fly..?Potential gain: 60/+100%
Reward/Risk:7-14
Timeframe: 3-6 months
I always try to present the charts in a simple comprehensive format to prevent any confusion.
This is just my technical view, neither a fundamental comment,nor a recommendation to trade..!
Please review my track record and calculate the odds for yourself..!
You’re likes and comments encourage me to continue this.
Stay tuned great live stream and quality content videos coming soon..!
$AAL CALMA StratReason for buying this stock:
Entry:
1. Candle is above ALMA
2. CCI Breaks 100
Exit:
1. Sell when happy
2. Candle is below ALMA
Not a financial advice. TAYOR. DYOR
AAL head and shoulder formation, not there yet.I may be buying 17.50 put for Friday and here will be my stops and my target.
AAL Long GameSpikes in American Airlines have been pretty common over the last the past six months. With sudden spikes to the stock over $18 or within that target price range. As of recently, the stock beat their estimates by $0.25. However, due to COVID-19, the stock will see very neutral trends and even bear trends. In 2019, American Airlines revenue was at $47.7B which was sharply taken away from the pandemic with a revenue of only $17.34B in 2020. As of recently, American Airlines warned employees they should brace for another wave of furloughs. The Center for Disease Control recently updated their guidelines when people are using public transportation to wear the appropriate attire to prevent the spread of COVID-19.
While the public's use of airlines has decreased over the past year people are still using the airline. Currently, it is hard to determine if the updated regulations on people traveling will improve revenue and make travelers feel safer when they travel.
This should not scare the buyers or the bulls away.
Will it take some time for NASDAQ:AAL to recover? Yes, it will take close to a year if not longer to recover. Despite a long recovery time the stock is still undervalued.
It's hard to estimate when there will the "pre-COVID" stock price but eventually the company can get there.
Long will be the best strategic outcome for this stock because of its necessity to people who travel for work or vacations. While it looks like there are no future plans of government action to be taken on airlines and transportation (again) it should not be surprising. Especially, if such action were to be taken up late spring/early summer. For the time being, it is quite frankly just a long waiting game.
References:
"American Airline Jobs." (Reuters). www.reuters.com
"Requires Face Masks." Center for Disease Control. www.cdc.gov
American Airline Under Accumulation By Large InstitutionsAAL shares are being accumulated by large institutions and they are doing it quietly before it breaks out. Very smart play seeing that vaccines are coming into play and sometime in the near future the government will be able to get it under control. Once this happens, then you will see travel pick up dramatically and Airline stocks take off as retail traders pile in on the breakout institutions create. Join me as we analyze the weekly and daily chart price shift as we prepare for a breakout.
Meh I like the price per share.
the company still burned an average of $30 million of cash per day last quarter, equivalent to a staggering $11 billion annually. By contrast, Delta Air Lines (which is similar in size) limited its fourth-quarter cash burn to an average of $12 million per day.
Management expects cash burn to continue at a pace of around $30 million per day during the first quarter (which includes $9 million per day of debt and severance payments). Luckily for the company, the government is effectively picking up the tab in the first quarter. American Airlines expects to receive $3.1 billion of payroll support funds this quarter, including $2.2 billion of outright grants.
$AAL- End of a short and Time for a Long (BULL RUN)Welcome Ladies and Gentlemen once again to another edition of FrancoBlanco's Dreams. From what I can technically see on this chart is the fact that this chart is VERY BULLISH!! Just look at the Fib Retracement Indicator, now take a look at the RSI History Alert Indicator, and let us not forget the CCI indicator. What do all these indicators have in common? All These indicators have one thing in common, and that is a bullish long-term market. We are crossing that red cloud.. NASDAQ:AAL
AAL long above 17.70Bullish divergence on the RSI, 30M and 4HR.
A lot of airlines are moving today as well which would make me a little more confident in this one.
Stop out at 17.08 for quick trades
If it doesnt hold up, buy target would be 16.60
AAL - runway 17 cleared for take off, Alpha Alpha LImaAfter long period declining prices, AAL did very impressive consolidation
with lovely OBV.
Stock is ready.
01-02-21/Dan
American Airlines Breaking out possible Targets. $AALAmerican Airlines Breaking out possible Targets, $22.81 and $30.81. NASDAQ:AAL
