- Ryanair drawing closer to significant resistance at $98.59 with potentially further upside ahead
- Upper Bollinger Band® currently at $97.91
Ryanair has posted further gains as part of a 6 day trend that has already seen the stock gain $5.97. On-trend Ryanair closed the session yesterday with more of the same: after closing Tuesday at $96.5, Ryanair closed at $97.34 yesterday after climbing to $97.7 and dropping back down.
The stock has been trending positively for about 3 months. This year has been a bright one for the Irish low-cost carrier after trading as low as $56.89 and going on to appreciate by 30.97% year to date.
Trend-following investors would be interested to note that the Commodity Channel Index (CCI) indicator is above +100, meaning the market price is unusually high compared to the rolling average. According to asset volatility analysis, Bollinger Band® analysis indicates that current price action is approaching the upper band at $97.91, thereby suggesting that Ryanair is becoming overvalued. Visual analysis of Ryanair's chart shows that Ryanair could be slowing down soon; it is getting close to the resistance line and is now at $98.59, only $1.25 away. Crossing the resistance line could, however, suggest that further gains are ahead.
Notwithstanding Ryanair's appreciation in recent days, the technical outlook suggests its bullish run is now fading.
Fundamental indicators – Crude Oil Inventories in United States fell short of market expectations (2.46 million) with a reading of 2.42 million, continuing the decline from the previous figure of 4.14 million.
While Ryanair was bullish yesterday, the following industrials stocks underperformed: Honeywell International descends 1.58% yesterday to close at $205.47. United Parcel Service went down 1.03%, closed at $188.29. Union Pacific went down to $207.14, losing 0.91% after it closed at $209.04 yesterday.
Upcoming fundamentals: projections for United States Initial Jobless Claims are set for a continuation of decline with 190,000 while previous data was 183,000; data will be released today at 13:30 UTC.