AAL trade ideas
$AAL American Airlines Chart Analysis
Lets look at the big picture as the action on the daily chart is such a mess.
The stock is within a well respected congestion channel since early June, with the Anchored
VWAP and Middle Bollinger Band also as resistance.
Further resistance comes from the 0.283 fib level @ $13.80.
Hopeful longs have continually got punished in this stock regardless of
stimulus newsflow, the safe option is to trade any rally rather than position for it. The channel breaks
above $15.00 with $17 as the next resistance
AAL Wedge NASDAQ:AAL and other airline stocks may see a boost this week with talks of relief for the companies. My target for AAL is 15.60 for the day leading up to earnings. I believe that stimulus could quickly take shares up and shift the downward momentum that airlines have faced over the past three months. Furthermore the wedge that is forming is supported with a few bullish catalysts, MACD cross, 50 SMA approaching the 100 SMA for an upward cross, and a strong increase in volume on a move to a higher high.
AAL for longReally in terms of this whole argument about whather airlines will ever recover I stand with Warren buffett. The airline business will never be the same after Corona but however I believe these companies will probably recover for a bit b4 things get even worse and this is one stock I've been watching nice and low risk when compared to southwest airlines.
AAL - American Airlines Sell SetupAAL is forming an inverse head and shoulders pattern around support in green.
The head and shoulders is still an idea so we are waiting for the right shoulder to form and then buy on the neckline (in gray) break upward.
we also have a trendline in red and divergence adding more confluence to our setup.
our trigger would be after a momentum candle close above the neckline.
Or waiting for a red dot (swing high) to form around the upper red trendline to consider it valid and buy on its break upward.
and the stop loss would go just below the right shoulders.
we always target double our stop loss.
Good Luck!
American Airlines - Hold For nowAmerican Airlines, United Airlines, Delta, Southwest — Shares of the major U.S. airlines fell on Friday as President Trump’s Covid-19 diagnosis injected uncertainty into the market. Shares of United Airlines fell more than 2.5%. Shares of American Airlines and Delta Airlines lost 2.3% and 2.1%, respectively. Southwest Airlines dropped 1.6%, while Alaska Air Group slid 2.6%.
Hold for now.
$AAL - 3 keys to Long success1. Stay above 11$
2. Break above 12.65$ (near MA50)
3. Break the channel above.
Not for any advise
Just an Idea.
AAL: squeeze playAAL has taken way too much debt and incinerated capital in a buyback scheme that could barely keep the stock in the 30s in the 'repo' rally of 2019 end (remember the 'this is not QE by Powell?).
On the other hand, the hand of shorts (30% of float) shows in the price action, especially from June on: massive squeeze, then progressively sold off.
Very difficult to say how things are going to play from now to election, but news on late Friday that they are receiving $5.5B Treasury loan will provide new ammo to cover and potentially push stock past its levels, especially if the overall market returns to sell Tech in favor of 'anti-Covid plays'.
Look at the levels as support and resistance, and play accordingly. $14 is very stubborn resistance
AAL Long TermWith airline traffic picking up after 3 months of quarantine, Airlines are starting to work up to its ATH. AAL was at $30.16 before the pandemic hit in early march. In 2018 ATH was around $59.00. Airlines have been getting loans from the Government. AAL has secured 5.5 billion in loans and is looking to secure more by the end of September. In my opinion LUV, DAL, and SAVE are better airlines to invest in or JETS (airline ETF, all airlines), keeping in mind AAL could possibly file for bankruptcy. Shares for your long term portfolio or ITM Calls for 2021 or 2022 could be good for AAL or either of these stocks I mentioned.
credit: Danny Devan
$AAL American Airlines Resistance Levels to consider
News after the close on Friday could help spark some life back into the airlines and AAL in particular,
but before throwing in all your chips here are some levels to consider.
- $12.70 Mid channel resistance with 50 & 100ma's
- $13.00 The 20ma which was support for so long may very well flip into strong resistance.
- $13.80 Strong Fibonacci .382 resistance.
- $14.28 Top of Channel, above which we got a rally.
AAL making higher lows finding support on gannfan AAL American Airline found a strong support on 8/1 gannfan line where it got a huge wick rejection and was building up strong momentum since then. This is a deep pullback and now aslong as it will break 200 and 50 sma and retest those, AAL will continue up to at least 15.23$ level and then after breaking that to 1.618 fib levels 17.8$ target and even further to 2.618 which is the 21.81$ target especially considering the short volume of 30%. The momentum also made high lows with a very small pullback on that momentum indicator so it is all about breaking that triangle formation now at around 13.38$ levels which lines up with the 200 50 sma
AAL - Ready For Take Off? A Huge week is coming up for the airline industry next week. As you can recall, the Stimulus Package passed back in March provided the airlines with $25 billion in aid as long as they didn't let go of any their employees for a certain period of time. That certain period of time expires September 30th.
The airlines are asking Congress for additional aid and the clock is ticking. The airlines argue that unlike other traditional jobs, airline employees (pilots, crew, flight attendants, etc.) require extensive training. If you let go of these employees, you can't just hire new ones at the flick of a switch as pilots, flight attendants and mechanics all must be certified by the government and receive proper training.
If additional aid is not given, the airlines are estimating on releasing the following:
American Airlines - 19,000 workers
United Airlines Holdings - 16,000
Delta Air Lines - will delay the effective date for a potential 220 pilot furloughs to Nov. 1
Southwest Airlines Co. have said they will avoid most forced cuts for now, after thousands of workers retired early or took leaves
That being said, either aid is given or 35,000+ more citizens will be added to the unemployment sheet for the month. Personally, we don't see how aid is not given to avoid this grim scenario. This takes us to the TA part:
TA:
We've been accumulating AAL between $11.50-$14.00 since August if you check our previous AAL posts. We think the additional aid will be a huge move up for the stock. Theres several layers of resistance but wouldn't be surprised with this kind of news to see a shot straight to the 200ma at around $16.50 at the moment.
Targets:
1. $16.45 area (where the 200MA will be)
2. $19.10 (top of our resistance line in pink)
3. $19.93 (fib retracement level)
4. $22.73 (previous high)
Now, this a large pump, but very possible. As always, this is a risk. The government could very well delay the aid as it does not come to an agreement, employees are laid off, aid comes later, etc. This is 2020 and worse things have happened. We have our stop losses at $10.75 . Keeping a close watch on this one.
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AAL analyzes based on trendline + macd + Stoch +rsiI am pretty bearish to AAL. It can bounce back to 12.59 then it will drop down to 10.71. It has too many resistants at 12.6-12.7. I wouldnt mind having a put/sell short right at 12.5 and stop loss at 13. RR is 1:6
AAL (AMERICAN AIRLINES GROUP INC) LONG SET UPTITLE/(DATE)- BUY AAL
(American Airline) (9/23)
ASSET- STOCK
ORDER TYPE- market first/BUY LIMIT
Time Frame-1Week
ENTRY PRICE 1- $11.50 market ✅
ENTRY 2- $8.50 (pending)
STOP LOSS- $7.50 (40 PIPS)
TAKE PROFIT 1-$14.50 (30 PIPS)
TAKE PROFIT 2- $19.50 (80 PIPS)
TAKE PROFIT 3- $23.50 (120 PIPS)
STATUS: 🏃🏽♂️ACTIVE 🏃🏽♂️
AAL Symmetrical TriangleAAL looking like its about to pop in either direction. Volume and hold above or below resistance and support is key to determining the trend.
