End of The Boeing Company (NYSE:BA) 737 MAX grounding up to individual countries

End of The Boeing Company (NYSE:BA) 737 MAX grounding up to individual countries

End of The Boeing Company (NYSE:BA) 737 MAX grounding up to individual countries

The Federal Aviation Administration said Monday that it still has no timeframe to lift the grounding of the Boeing 737 MAX, and that individual countries will decide when the plane can fly again.

“Our first priority is safety, and we have set no timeframe for when the work will be completed. Each government will make its own decision to return the aircraft to service, based on a thorough safety assessment,” the FAA said in a statement.

The statement followed a meeting of international regulators in Canada more than six months after the top-selling Boeing plane was grounded following the second of two deadly crashes that together claimed 346 lives.

Boeing has said that it expects to receive regulatory approval early in the fourth quarter for the plane to resume service.

In a September 11 appearance at a financial conference, Boeing Chief Executive Dennis Muilenburg held to that timeframe and said that a “phased ungrounding” of the jets was one possible outcome.

The US regulator has been seen as likely to be the first body to act, but FAA officials have said repeatedly that they would prefer other agencies to follow suit quickly.

However, other leading regulators such as the European Union Aviation Safety Agency have expressed concerns about the plane and also signaled they support simulator training requirements for pilots — something the FAA has not viewed as necessary.

FAA Administrator Steve Dickson told his counterparts that he planned to personally fly the 737 MAX himself before approving the plane to resume flights.

“As you make your own decisions about returning the MAX to service, we will continue to make available to you all that we have learned, all that we have done, and all of our assistance,” Dickson told the regulators in remarks released by the FAA.

Technical Indicators

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

By the way, prices are vulnerable to a correction towards 362.21.

The projected upper bound is: 397.14.

The projected lower bound is: 357.39.

The projected closing price is: 377.26.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 25 white candles and 24 black candles for a net of 1 white candles.

A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.

Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.

Momentum Indicators

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 40.0195. This is not an overbought or oversold reading. The last signal was a sell 1 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 58.59. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 91 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 28. This is not a topping or bottoming area. The last signal was a sell 2 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 24 period(s) ago.

Rex Takasugi – TD Profile

BOEING CO closed down -2.360 at 377.030. Volume was 32% below average (neutral) and Bollinger Bands were 3% wider than normal.

Open     High      Low     Close     Volume___
377.500 380.090 374.420 377.030 549,917
Technical Outlook 
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish
Moving Averages: 10-period     50-period     200-period
Close: 379.81 355.14 364.16
Volatility: 32 36 37
Volume: 930,701 844,869 1,026,017

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.

Summary

BOEING CO is currently 3.5% above its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of BA.N at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on BA.N and have had this outlook for the last 20 periods.

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