American Airlines Group (AAL): Relief Rebound?Last night in New York, AAL closed the session with a 'Red Dog Reversal' candle i.e. multiple days down followed by a downside gap and then a reclaim of the prior day lows. At the start of June, the stock reached a high of $26.04 followed by a bearish reversal to trade at $19.65 at yesterday's low. I may be early here however the reward-to-risk for a moderate rebound toward the $22.00/22.30 level is starting to appear attractive for a minor 'cash flow' rebound. You'll also note the 7-RSI hasn't made a new low and is in 'NEAR OVERSOLD' territory. In pre-market, the share is +1.47% however it may pull back to provide a better entry.
Last Close: $20.35
Preferred Buying Range: $20.10 to $20.35
Stop-loss: $19.45
Target Range: $21.85 to $22.15