EADSY trade ideas
AIRBUS (AIR) Two Scenarios Explained
hey guys,
airbus is consolidating on a key structure support level.
the price is stuck on 50 level for more that one month!
on 4H we see a classic contraction with a formation of a descending triangle.
the side of the breakout of the triangle will show us the future direction of the stock.
because the trend is bearish, we are bearish biased here and we expect further bearish continuation.
however, in case of a bearish breakout out profits will be relatively limited.
we will aim at 40 and this will be the next key structure.
in case of a bullish breakout of a falling trendline, we can expect a bullish continuation,
and aim at 76 level.
be prepared for both scenarios and adjust your trading plan accordingly!
good luck!
Airbus is going to drop againAs you look at the Aroon indicator, you can see that its indicating indicision. The price has also been consolidating in the channel(although it had a fake out recently). But what makes sense is that the price is forming a head and shoulder pattern and indicating a break out of the consolidation channel(might happen as a fake-out too). Moreover, the A/D is also showing more and more distribution, although the price has been trending upward recently. All in all, everything is pointing to more drops.
AIRBUS - flying to 20$As we can see since 1999 till 2003 we have around 90% drop and since we are experiencing the biggest drop in many years, we could see the same thing happening again. I am looking to buy at around 20-10$ range around March - May 2021. We will see a little rebound now for a few months, but then we will see another big drop.
Airbus shares might see a reversal Parabolic Stop and Reverse (SAR) suggests that we are now in an uptrendmeaning we should be long.
Ichimoku cloud suggests the same future price movement. Keep in mind that:
Kijun Sen (blue line): Also called standard line or base line, this is calculated by averaging the highest high and the lowest low for the past 26 periods
Tenkan Sen (red line): The turning line. It’s derived by averaging the highest high and the lowest low for the past nine periods
Chikou Span (green line): Also called the lagging line. It’s today’s closing price plotted 26 periods behind
Senkou Span (red/green band): The first Senkou line is calculated by averaging the Tenkan Sen and the Kijun Sen and plotted 26 periods ahead. The second Senkou line is calculated by averaging the highest high and the lowest low over the past 52 periods, and plotting it 26 periods ahead
The Relative Strength Index (RSI), in turn, has changed its sentiment. Remeber that readings below 30 indicate an oversold market.
Finally, Bollinger Bands began expanding together with the RSI reversal suggesting that we may enter in an uptrend.
On the fundamental part, i find it important to mention recent 4 quarter results, according to which : Revenue € 70.478M (11% y/y) vs. € 70.480M, adjusted EBIT amounted to 6.946 (+ 19% y/y) vs. estimated 6.829M €, while the reported EBIT was € 1,339M and Net Losses of € 1,362.
The results include two extraordinary adjustments, one of -3.598M € of fines and -.1415M € of adjustments in the Defense and Space division (mainly for the A400M). 863 commercial aircraft were delivered, in line with the 860 of the revised objective.
The 2020 targets are:
(1) estimate deliveries of 880 vs. the 2019 revised of 860 (initially it was 880-890);
and (2) Adjusted EBIT of € 7,500M
and (3) expected generation of free cash flow (before M&A and customer financing), approximately € 4,000M, before about € -3,600m of fines and provisions payments three-digit, medium-high, in millions of Euros for legal disputes.
In addition, this morning we got the news that "European plane maker Airbus SE is close to securing a deal for around 50 aircraft from a Nigerian startup airline that previously announced plans to buy Boeing Co. 737 MAX jets, according to people familiar with the plans." It´s a positive signal, however, COronavirus should be also taken into account, as the production already experiences certain problems...
Airbus (AIR)Airbus became the largest aircraft manufacturer in the world for the first time since 2011, surpassing Boeing. The change of gear in the skies between Airbus and Boeing was expected, in fact, after two fatal accidents, the American company was forced to leave the 737 MAXs on the ground. The company also decided to halt production 737s, which are single-aisle, not being able to fly back for 2020.
AIR - DAILY CHARTHi, today we are going to talk about the Airbus and its current landscape.
With more than 400 planes grounded, 737 Max crisis is still backlashing Boeing Co., and now the Boeing problem could become the industry "problem" as the Federal Aviation Administration (FAA), may fundamentally change the certification process of aircraft, by prioritizing the human factor in the proceeding. The FAA wants to appraise how quickly airline pilots can react to emergency situations and possibly evaluating how the design o planes make it easier or harder for the pilot's reaction. The proposals need to be the debated of Congress, that has been criticizing the FAA administrator Stephen Dickson over its close relationship with the industry, Dickson it's a former employee of Delta Air Lines.
The effects of the 737 problems, combined with the slowing down economy entails strong headwinds for the whole industry, plus this new regulatory change, companies could see a shrinking of its orders, and more costs to have products in-line with the new possible FAA framework. The positive highlight of the day for the sector goes to the orders coming from several airlines, like Emirates that ordered 50 Airbus A350 jets in a deal worthing $16 billion; Air Arabia ordered 120 Airbus A320s in a $14 billion deal, and Etihad will take 20 Boeing Co. 787 Dreamliners.
To have access to our exclusive contents, join the Traders Heaven today! Link Below.
Disclaimer: All content of Golden Dragon has only educational and informational purposes, and never should be used or take it as financial advice.
First analysisHello everyone,
Today I will share with you my first analysis. Please be indulgent and any advices are welcomed :)
In my opinion, I think we may have found a bottom for Airbus ( EURONEXT:AIR ). The current trend is showing some weakness as volume is going down and RSI is showing divergences on the daily and the 4h chart. A daily close above 95 could be a bullish sign.
Let me know your thoughts on this idea and where I could be wrong!
Have a nice day.
Airbus Stock at 4-Month Low. A Nice Entry.Airbus Stock Price is likely to go up to €88 again within the next few days/weeks. Traded same level a few times during the past few months. I would like to stop myself right below that support level since going below that level suggests that the market is getting impatient with the behavior of the stock.
