During Tuesday's episode of TheStreet Live, Jim Cramer and Katherine Ross talked about Dogecoin, United Airlines Holdings Inc. (UAL) , Cathie Wood, Fisker (FSR) , Abbott Laboratories (ABT) and more.
Let's check out the charts of UAL this Wednesday morning.
In the daily bar chart of UAL, below, we can see that the shares traded lower probably in reaction to their wider-than-anticipated first-quarter loss the other day. Prices gapped below the cresting 50-day moving average. The rising 200-day moving average line is not far below the market in the $42 area.
The On-Balance-Volume has been weakening since the middle of March telling us of a shift from aggressive buying to aggressive selling. The Moving Average Convergence Divergence (MACD) oscillator also peaked in March and is now just above the zero line, poised for a possible outright sell signal.
In the weekly Japanese candlestick chart of UAL, below, we can see a couple upper shadows above $60 telling us that traders were rejecting those prices. The week is not over but the long red candle is certainly bearish. The rising 40-week moving average line is a likely target in the days ahead.
The weekly OBV line shows that it has "rolled over." The MACD oscillator has been narrowing and is close to a downside crossover.
In this daily Point and Figure chart of UAL, below, we can see a potential downside price target in the $41 area.
In this weekly Point and Figure chart of UAL, below, we can see a possible downside target in the $38 area.
Bottom-line strategy: The charts of UAL have turned weak and further declines look possible. Consider other travel plans until we see signs of fresh aggressive buying.
Get an email alert each time I write an article for Real Money. Click the "+Follow" next to my byline to this article.
