Looking for a pop to the upside BA is approaching its ascending support line in this pennant type channel its been trading in for eons.
I think it is possible for a little bit more pullback, but I am anticipating BA to do a little pop towards the upside in the coming days, if not tomorrow.
Currently, BA is resting at -2 standard deviations form its mean high, low and open range. If there is one thing BA DOES NOT like, its being more than -1 standard deviation away from its mean. It usually snaps back quite aggressively. Its actually one of the only stocks I have seen to aggressively reject trading outside of 1 standard deviation. Most stocks will tolerate it for some time, but not BA. It wants none of it. The mean range for open, low and high rests around 203, 205 and 208 respectively.
So, projections on BA for tomorrow say that BA is looking to trade in the 189 to 200 range. However, another thing BA likes to do is outperform both to the upside and downside. What I am looking for on BA is it to open around 195 or higher to show that it is rejecting being so far away from its mean.
For BA to successfully make its way up tomorrow, it must find support around the 189 range. If doesn't, then we are likely going to be retesting the mid to low 180s. This will put BA in the 5th percentile, or on the more severe side -3 standard deviations away from its mean. In that case, it either gets caught on that ascending support and gets rejected to the downside and makes lower lows, or we get that snap back that I am anticipating.
Its very possible that BA rips down to the 180s during pre-market or early in at market open, only to aggressively snap up for the remainder of the day. But either way, I am hoping for some aggressive moves from BA tomorrow.