SPCE Stock – 3 Bullish Stocks For Technical Traders Going Into The Week
SPDR S&P500 (NYSE: SPY) hit a new all-time high of $411.67 Friday following a ramp-up into earnings season and rotation back into tech stocks.
Following multi-week consolidation periods, these three stocks look bullish going into the week.
American Airlines Group Inc ((NASDAQ:(AAL))) looks to be completing a bullish inverted head-and-shoulder pattern above support at $22.58 on the daily chart. On March 18 American Airlines’ stock rejected and wicked off the bottom of a gap left from its Feb. 24, 2020, gap down caused by the pandemic news.
Bulls want to see the stock react to the inverted head-and-shoulder pattern and break up above the descending trendline. If American Airlines’ stock can break above the descending trendline, it has room to fill the gap and trade in the $27 range, which is in line with its pre-pandemic share prices.
Royal Caribbean Group’s (NYSE: RCL) stock, like American Airlines, looks to be completing an inverted head-and-shoulder pattern above support at $85.07 and is also trading above the descending trendline, which had been holding it down since Feb. 23.
Bulls want to see Royal Caribbean’s stock react to the inverted head-and-shoulder pattern and jump up to fill the overhead gap around $105. This would bring its share price back to pre-pandemic levels. Bears want to see it trend down and follow the descending trendline until it loses support at the $85 mark.
Virgin Galactic Holdings Inc’s (NYSE: SPCE) stock had been trending downward since making a new all-time high of $62.80 on Feb. 4.
On March 25, Virgin Galactic stock reversed trend, however, and put in a daily higher low but has since settled into a bearish descending triangle with an apex of April 21.
Virgin Galactic’s stock has been repeatedly testing the descending trendline holding it down, and bulls want to see the stock break up over it. If the stock can break through the descending trendline, it has room to move up to its next resistance at $34.60. If it busts through that, Virgin Galactic’s stock can move up further to fill the gap in the $39 to $41 range.
With Virgin Galactic’s next test flight expected in May, positive sentiment may help the stock make a bullish move up. Bears want to see Virgin Galactic stock trade in the descending triangle until it loses support at $27.55.
Photo courtesy American Airlines.
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