Chart of Day: United Airlines (UAL)
In early June, we highlighted an opportunity in oversold shares of Tesla (TSLA).
At the time, it traded at around $177 a share.
Today, it’s up to $263 in pre-market and could see higher highs. Helping, analysts at Goldman Sachs just raised their price target on TSLA to $248 from $175 with a neutral rating.“The firm increased its 2024 earnings per share (EPS) estimate to $2.05 from $1.90 citing higher deliveries and an increased market multiple while shareholders are ‘likely to be more forward looking’ on Tesla’s full self-driving (FSD) potential,” added Electric-Vehicles.com.
As for new ideas, keep an eye on oversold airline stocks, like United Airlines (UAL).
After slipping from about $54 to $47.20, it appears to have found strong support. It’s also over-extended on RSI, MACD and Williams’ %R and could bounce back strong. The last time UAL became this technically oversold in April, UAL bounced from about $40 to $56. We’re looking for a similar move from oversold conditions again now.
Ian Cooper is an experienced trader who uses a combination of technical, fundamental, and news analysis to help individual investors grow their wealth. Ian’s Premium Options Strategies