Shares of airplane manufacturer Boeing (BA) jumped over 7% Tuesday on news that their monthly deliveries improved significantly. Can this strength in the stock price continue? Or was this a bounce in a longer-term decline? Let's check the charts and indicators.
In this daily bar chart of BA, below, we can see that prices have been in a downward trend the past year. BA trades above the declining 50-day moving average line and below the weak 200-day line. Prices made a low in May and a lower low in June before a pop to the upside.
BA rallied Tuesday for a new high for the recent move up but trading volume has not expanded to show investor interest and the daily On-Balance-Volume (OBV) line remains weak.
The Moving Average Convergence Divergence (MACD) oscillator has moved above the zero line for an outright buy signal but BA has not made a big enough base pattern to get my respect.