Qantas heading south?Qantas is moving up towards a strong resistance area with prior support and resistance lining up with the 50% retrace of the move up from 2012-2020 and the 38.2% retrace of the move down from Jan - March. The 55 SMA is also not far above and moving south.
The RSI seems to be making an ascending wedge that is coming to an apex.
If the ascending wedge or trendline breaks to the downside I think it's likely to revisit the recent lows and possibly head to around $1.20 which is roughly the lows of 2012 & 2014 as well as 1.618 and 0.618 fib extensions of wave 1 & 3 respectively.
I assume a lot of traders might have been speculating on Qantas possibly being the only airline in Australia after Virgin stopped trading. The news of virgin being offered a $200 million bailout from the QLD government after hours on Friday might cause some to exit their positions going into resistance.
