Wednesday 8 March 2017

Technical Analysis: Delta Air Lines Inc. Part 1

Delta Air Lines Inc.
Looking at the longer term charts this particular stock has been trapped in a consolidatory motion for some time which has frustrated both sides of the trade. 

The bollinger bands indicates that the price remains in a tight range however it must also be noted that the only time price was able to finish outside either the top or bottom band, the signal produced a false signal. 

This happened during June 2016 and although the break occurred, $35 provided strong support for buyers. Since then we've seen a resurgence of price back up towards the upper band. 

The RSI has been trending to the downside since 2014 but there does seem to be a challenge being undertaken and should this downtrend be broken, an aggressive buying frenzy could ensue. 

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