BOEING STABLE ABOVE MA20, BUT MARKET NERVOUS AS LION AIR CONSIDERS CANCELING ORDERS
In the Premarket trading session on Tuesday, Boeing stock was trading at 358.18- lower by 0.49% compared to its previous close.
According to sources, Indonesian airline Lion Air is reviewing airplane purchases from Boeing and has not ruled out canceling orders as relations worsen in an argument over responsibility for a 737 jetliner crash that killed 189 people in October.
The group co-founder is furious over what he sees as attempts by Boeing to deflect attention from recent design changes and blame the airline for the crash. According to sources familiar with the matter, the group cofounder is examining the possibility of canceling remaining orders of Boeing jets from the next delivery.
No final decision has been made by the Indonesian airline, but the discussion over the fate of $22 billion of remaining orders highlights the stakes surrounding an investigation involving Boeing’s fastest-ever selling jet which entered service last year.
On the technical front, the current price is above the MA5 and MA20. The current price is above the middle line of the Bollinger Bands but is heading downwards.
Overall Bias is Mixed/Positive and short-term trades can be initiated with tight Stop Loss and Profit targets.
TRADE SUGGESTION-LIMIT BUY AT 357 TAKE PROFIT AT 361 STOP LOSS AT 355