XM does not provide services to residents of the United States of America.

Technical Analysis – Boeing’s stock nears key support ahead of Q3 earnings



Boeing’s stock price has been on the sidelines since the peak to a one-year high of 278.28 in March, remaining trapped below the strong ascending trendline for another month and far below its pre-pandemic levels.

The American aircraft designer will publish its Q3 earnings results today before the market open, but the technical picture is currently providing little hope for any significant progress. The MACD seems to have started a new bearish cycle in the negative area, while the RSI is strengthening its negative momentum towards its 30 oversold mark as the Stochastics look indecisive below their 20 oversold level.

Despite the discouraging signals, the nearby key support of the 204.63 area will be closely watched for any bullish spikes. This is where the price sharply rebounded in mid-July, and the presence of the 38.2% Fibonacci retracement of the 2020 upleg in the neighborhood is adding further importance to the region. Should the bears clear that floor, the sell-off could extend towards January’s low of 191.56.

Otherwise, a bounce off the 204.63 bar would shift the spotlight back to the descending trendline seen around 222.00 and near the surface of the Ichimoku cloud. A clear break higher from here could face immediate resistance around the 200-day simple moving average (SMA) at 229.80, while not far above, the 23.6% Fibonacci of 233.60 may prevent any moves towards the August high of 240.43.

Summarizing, Boeing’s neutral outlook remains unchanged in the short- and medium-term. A break above 222.63 or below 204.63 could direct the market accordingly.  

Disclaimer: The XM Group entities provide execution-only service and access to our Online Trading Facility, permitting a person to view and/or use the content available on or via the website, is not intended to change or expand on this, nor does it change or expand on this. Such access and use are always subject to: (i) Terms and Conditions; (ii) Risk Warnings; and (iii) Full Disclaimer. Such content is therefore provided as no more than general information. Particularly, please be aware that the contents of our Online Trading Facility are neither a solicitation, nor an offer to enter any transactions on the financial markets. Trading on any financial market involves a significant level of risk to your capital.

All material published on our Online Trading Facility is intended for educational/informational purposes only, and does not contain – nor should it be considered as containing – financial, investment tax or trading advice and recommendations; or a record of our trading prices; or an offer of, or solicitation for, a transaction in any financial instruments; or unsolicited financial promotions to you.

Any third-party content, as well as content prepared by XM, such as: opinions, news, research, analyses, prices and other information or links to third-party sites contained on this website are provided on an “as-is” basis, as general market commentary, and do not constitute investment advice. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, it would be considered as marketing communication under the relevant laws and regulations. Please ensure that you have read and understood our Notification on Non-Independent Investment. Research and Risk Warning concerning the foregoing information, which can be accessed here.

Risk Warning: Your capital is at risk. Leveraged products may not be suitable for everyone. Please consider our Risk Disclosure.