The Nosedive Trade, American Airlines (NASDAQ:AAL)
Shares of American Airlines Group Inc. (NASDAQ:AAL) have come under pressure the last two weeks even as the price of oil has dropped. This drop in oil should help American Airlines Group Inc. (NASDAQ:AAL) as it cuts their fuel prices, helping their bottom line. The stock has now created a "Head and Shoulders" top pattern on the daily chart. If this chart pattern should trigger, it could easily send the stock down to the $25 level. Let's look at how you should trade this stock...
Trade The Pattern:
The trade is simple, the first close below the neckline on a daily chart time frame basis is when you go short AAL. If it then closes back above the line, consider the pattern voided and you stop out for a small loss. This is a low risk, high reward setup and you should certainly take advantage of it. Like I said, abide by the levels, they will guide you to trade this pattern for either a very nice profit, or a fast exit for a small loss.
Trade The Pattern:
The trade is simple, the first close below the neckline on a daily chart time frame basis is when you go short AAL. If it then closes back above the line, consider the pattern voided and you stop out for a small loss. This is a low risk, high reward setup and you should certainly take advantage of it. Like I said, abide by the levels, they will guide you to trade this pattern for either a very nice profit, or a fast exit for a small loss.
Thông báo miễn trừ trách nhiệm
Thông tin và ấn phẩm không có nghĩa là và không cấu thành, tài chính, đầu tư, kinh doanh, hoặc các loại lời khuyên hoặc khuyến nghị khác được cung cấp hoặc xác nhận bởi TradingView. Đọc thêm trong Điều khoản sử dụng.