Raytheon - Go ShortJust another dumb idea. Weekly has formed a descending triangle. Eventually this will break to the downside
RTX trade ideas
Raytheon Technologies – Whopping 60% Shorting Opportunity?If you like this idea, please don’t forget to Boost it.
Fundamental Indicators:
Sector – Industrials
US Business Cycle Stage – late cycle, when this sector is neutral
Revenue – consistent growth for the past 5 years, although just 6% average annual rate, the performance in 2022 TTM is considerably slowing down
Profits – although slight increase in 2022TTM, it has still not recovered to pre-pandemic levels
Net margin – 7% which is still below pre-pandemic levels
P/E – the highest historic level with ratio of 31 compared to S&P500 with 21, Industrials sector with 21 and historic average level of 11
Liabilities - debt ratio is at 0.55 which is within the norm, Net Debt/ EBITDA is 2.48 – no problems with debt
Conclusion – although the company is recovering from pandemic but still hasn’t caught up to the previous levels, and given current overpriced valuation, it is very likely to go into correction to get back to the fair value
Technical Analysis (Elliott Waves):
Main scenario of this idea suggests that we are still observing development of the global growth cycle which is currently at the stage of starting corrective wave 4 (see higher timeframe graph)
Since the longest correction in the shape of a Running Triangle that has lasted between 1987 and 1994 completed, this company has enjoyed explosive growth with circa 2100%. However, the whole movement is choppy with a lot of crossings hence likely to be an Ending Diagonal (see guidelines for Ending Diagonals below)
The historic high which was formed in March 2022 was the point of completion of wave 3 in the Ending Diagonal and now we are observing formation of the first leg of wave 4, presumably as a double zigzag. Wave W has completed, wave X is likely to finalise at the price level $97.32
Once completed, there will be another bull run in wave Y with the target range $67-$78 – which may present up to 30% shorting opportunity. However, longer term target is potentially $40 which is whopping 60%
This is a higher timeframe to reflect the full history of Raytheon Technologies Corporation and to provide full wave count:
This is the link to the guidelines for Ending Diagonals
What do you think about Raytheon Technologies Corporation and its short term prospects?
Also let me know if you would like to see other stocks, indices, Forex or Crypto analysed using Elliott Waves. And BOOST this idea if you like it.
Thanks
RTX - potential setupsNYSE:RTX
Raytheon Technologies Corporation , an aerospace and defense company, provides systems and services for the commercial, military, and government customers worldwide.
It operates through four segments: Collins Aerospace Systems, Pratt & Whitney, Raytheon Intelligence & Space, and Raytheon Missiles & Defense.
------------------------------------------------------------------------------------------------------------
👉 1. Price goes ABOVE the selected range on the picture. Long positions to activate.
👉 2. Price goes BELOW the selected range. below. Short positions to activate.
⚠️ Important Notes:
1. Follow your risk management rules.
2. Timeframes: up to 1D
Good luck and profit to all
RTX BULLISH SETUP The asset has now held the upper major support from its last ATH breakout. with nancy going east for ramen we shall have some potential interest in case china reacts to her visit to Taiwan.
Raytheon getting nuked. RTXIndeed. A Wave, B Wave as a condensing or constricting triangle, pivot and now just awaiting confirmation.
We are not in the business of getting every prediction right, no one ever does and that is not the aim of the game. The Fibonacci targets are highlighted in purple with invalidation in red. Confirmation level, where relevant, is a pink dotted, finite line. Fibonacci goals, it is prudent to suggest, are nothing more than mere fractally evident and therefore statistically likely levels that the market will go to. Having said that, the market will always do what it wants and always has a mind of its own. Therefore, none of this is financial advice, so do your own research and rely only on your own analysis. Trading is a true one man sport. Good luck out there and stay safe.
rtx 2 scenariosrtx 2 scenarios .. 1] buy after the break above the resistance 1 and 200ma .. 2]sell after the break under the support 1 and 50ma ..
$RTX with a Bullish outlook following its earnings #Stocks The PEAD projected a Bullish outlook for $RTX after a Negative Under reaction following its earnings release placing the stock in drift D with an expected accuracy of 100%.
Raytheon on the breakout ?A repeated patter on the weekly RTX chart appears to be forming, and technical indicators are set up similarly.
The daily chart is also in alignment as previously. Technical Indicators have just crossed over and suggest a breakout is in order.
About 15% upside potential with upside target at 113.80, about mid-September 2022.
Fundamental and geopolitical alignment should start appearing soon...
Watch this one!
RTX - Channel Breakout Long term chart for RTX showing two distinct channels
A large ascending triangle structure can be seen in the first to lead to the first channel breakout
The second is a inverted H&S structure which will lead to the break out of the second channel breakout which extends back to year 2000
Where the money at? $RTXI dont endorse war but in a see of red these stocks seem very atractive. 140+ for raytheon by EoY is very humble and realistic. :)
RTX on a supportGot some RTX. Sitting at the 200 MA and RSI is low, stock is oversold. Stop loss a bit below the MA. Cold be a nice swing.
$RTX with a Bearish outlook following its earnings #Stocks The PEAD projected a Bearish outlook for $RTX after a Negative over reaction following its earnings release placing the stock in drift C with an expected accuracy of 33.33%.
RTX to continue bull runRaytheon broke out of a Ascending triangle last week. XLI is a sector that looks like its ready to move up.
RTX: Underlying StrengthRTX with underlying strength prevalent in its technicals & fundamentals. Leading the industrial sector via geopolitical factors and a favorable balance sheet, RTX continues upwards on a channel trend and on several premises: 1) Buyer responsive price action that has been developing since Q4 of 2021 2) Participants driving auction over KSMAs, 3) Support held at key level of a bullish double bottom formation, PT upgrade to $115 from $105 x maintain of outperform rating via Cowen. Target Price: $110.17 - $125.00 // ATR: 2.29, Beta 1.33
Ascending triangleBreak upside of the triangle, buy calls.
If broke on the downside buy puts.
Beautiful set up RSI on positive trend, leading into positive territory.
$RTX an example of Relative Strength$RTX was buyable today. I looked at it pretty much on and off all day but with market looking like crap, and not much else setting up, I would rather let this one go than be in a hurry to increase exposure.
That said, this is what relative strength look like.
500 Stinger and 500 Javelins a day to UkraineThis will drive the RTX stock up along with the EU nations wanting to buy the Patriot defense system. Buy Buy Buy as Cramers says
Raytheon zigzagging. RTXGoals 94, 92. Invalidation at 104 .
We are not in the business of getting every prediction right, no one ever does and that is not the aim of the game. The Fibonacci targets are highlighted in purple with invalidation in red. Fibonacci goals, it is prudent to suggest, are nothing more than mere fractally evident and therefore statistically likely levels that the market will go to. Having said that, the market will always do what it wants and always has a mind of its own. Therefore, none of this is financial advice, so do your own research and rely only on your own analysis. Trading is a true one man sport. Good luck out there and stay safe
US Arms Manufacturers Profit from USA's Policy of Forever WarSince beginning the United States' War of Terror with the illegal invasion of Iraq in 2001, US weapons contractors and their shareholders (incl. many US politicians and advisors) have reaped untold billions in profits:
Beating the Market
$10k invested in Lockheed Martin in 2001 would be worth over $200k today. Likewise the same amount invested in Northrop Gruman would be worth over $150k. This is far in excess of the Dow Jones index, which only increased a little over 200% in the same period, meaning a $10k investment in a DJI fund in 2001 would be worth less than $25k today.
Profits continue to soar today thanks to current conflicts and massive arms sales, totaling 100s of billions of dollars over the next 10 years, that are currently lined up to UAE and Saudi Arabia among others.
Cup and Handle Channel upPopular sector as of late but this sector is pulling back today.
Cup and handle targets are calculated using the depth of the cup and fib levels and added to the long entry level. I use the .386, .618 and .786 for targets one. The handle is an area of consolidation and ideally it should be located above mid cup.
RTX is in a channel up and unless the bottom green trendline fails to catch price, it is support. A channel occurs when price is trending up or down and price fits inside 2 parallel trendlines. If price breaks the upper trendline in an uptrend, it will either pull back to the interior of the trendlines or make a break to the upside. RTX pulled back to the interior of the bands. If price breaks the bottom trendline in an uptrend then it is time to move on a stop if often placed below the bottom trendline. Price should have at least 2 touches to each trendline.
Earnings 4-25 and earnings history is nothing to be excited about so I will sell this before earnings .
No recommendation.
Raytheon Technologies Corporation , an aerospace and defense company, provides systems and services for the commercial, military, and government customers worldwide. It operates through four segments: Collins Aerospace Systems, Pratt & Whitney, Raytheon Intelligence & Space, and Raytheon Missiles & Defense. The Collins Aerospace Systems segment offers aerospace and defense products, and aftermarket service solutions for aircraft manufacturers and airlines, as well as regional, business, and general aviation; and for defense and commercial space operations. This segment also designs, produces, and supports cabin interior, communications and aviation systems, oxygen systems, food and beverage preparation, storage and galley systems, and lavatory and wastewater management systems; airborne intelligence, surveillance and reconnaissance systems, test and training range systems, crew escape systems, and simulation and training solutions; information management services; and aftermarket services that include spare parts, overhaul and repair, engineering and technical support, training and fleet management solutions, and information management services. The Pratt & Whitney segment supplies aircraft engines for commercial, military, business jet, and general aviation customers; and produces, sells, and services military and commercial auxiliary power units. The Raytheon Intelligence & Space segment develops and provides integrated space, communication, and sensor systems for missions, training, and cyber and software solutions to intelligence, defense, federal, and commercial customers. The Raytheon Missiles & Defense segment designs, develops, produces, and sustains integrated air and missile defense systems; defensive and combat solutions; land- and sea-based radars; command, control, communications, and intelligence solutions; and naval and undersea sensor solutions for the U.S. and foreign government customers. The company is headquartered in Waltham, Massachusetts.
EPS ( FWD )
4.81
PE ( FWD )
20.30
Div Rate ( FWD )
$2.04
Yield ( FWD )
2.09%
Short Interest
1.04%
Market Cap
$143.92B
Volume
4,066,232
Disclaimer
Going Long on RTXThe chart is on a clear uptrend
RTX is an aerospace and defense stock. We all know the current event in Ukraine and Russian war. As a result, it pushed the price higher with relative strength. RSI is above 50.
Remember before entering
1. what is the Pattern or the set up: Pullback to 20 ema
2. Volume accumulation
3. Moving averages 20>50>100
4. Is stochastic oversold or overbought?
5. Is it worth the squeeze?
6. Does it align with multiple TF?
7. Position size
8. Entry
9. Exit
10. SL
11. VAR is 1-2%
12. Strategy long
Raytheon Oversold, Divergent. RTXImmediate targets 87, 82, 79. Invalidation 100.
We are not in the business of getting every prediction right, no one ever does and that is not the aim of the game. The Fibonacci targets are highlighted in purple with invalidation in red. Fibonacci goals, it is prudent to suggest, are nothing more than mere fractally evident and therefore statistically likely levels that the market will go to. Having said that, the market will always do what it wants and always has a mind of its own. Therefore, none of this is financial advice, so do your own research and rely only on your own analysis. Trading is a true one man sport. Good luck out there and stay safe
Perhaps a retest, and then off to the racesDefinitely don't short here. Fundamentals for the military industrial complex are (unfortunately) stellar at the moment. This is just getting started.
