Let’s check into $JETS – March 8, 2023
This is Scott with your Chart of the Day. I want to follow up on a chart that I talked about on February 28th. As you can see here, StockMarketMentor.com, “Is UAL ready for take off?” That was this day right here, where we saw this clear break of a downward sloping trendline on good volume; decent volume here, from United Airlines ( NASDAQ: UAL ).
It then chugged nicely up this 8-day exponential period moving average and has been working beautifully. It looks even better on a weekly chart. You can see it is above that 200-week moving average, which has been resistance. This moving average has been resistance since the pandemic. It’s back above, it closed above, and now we just want it to hold above.
Now, I am not doing this video to brag because I don’t have an ego in trading. I have lost way too much money to have an ego in trading. But I do want to follow up on this because some of the other airlines are also looking really good right now. Like Delta Air Lines ( NYSE: DAL ), look at this. We had kind of a giveback move yesterday but today an upside move, a higher open, and a close near the highs on good volume.
So this move in airlines could be just getting started, and it usually starts with one. There is one outlier that’s moving forward, and then we see a subsequent move in the sector. So I definitely want you to keep an eye on the Jets ETF ( NYSEARCA: JETS ), that way you don’t have to worry about single stock risk. But this is consolidating nicely above all the major moving averages. And the moving averages are in order with the fastest one on top and the lowest one on the bottom.
So while this may take time to continue to consolidate, even just a week or two sideways, I think the Jets ETF ( NYSEARCA: JETS ) could be something that you want to keep an eye on. If you are looking to set an alert on your software, I would probably want to have an alert around that $20.39 range. And then you would want to see a strong move through that zone coming on volume.
So United Airlines ( NASDAQ: UAL ) was a little bit of a tell. Now let’s see if the other jets can catch up.
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