TUI UP AFTER MAINTAINING FORECASTS DESPITE BAD WEATHER
TUI is currently trading at 16.54-higher by about 2.4% as compared to the previous closing. The stock has been continuously closing in the green since the last two trading sessions.
In recent news, the company disclosed on Thursday that it was on track to meet its forecasts for earnings growth in this year. TUI stuck to its guidance for underlying earnings to rise at least 10% at constant currency this year. (Constant currencies are exchange rates that eliminate the effects of fluctuations when calculating financial performance numbers for various financial statements)
The holiday company also said that the sales for the coming winter and summer seasons were in line with its expectations. TUI’s CEO said on Thursday that the number of customers purchasing holidays from the company has risen in all major markets even with the sustained period of hot weather in Northern Europe in summer.
On the other hand, TUI’s rival, Thomas Cook downgraded its profit outlook this week due to the hot weather hitting demand in the most profitable part of the season.
On the technical front, the RSI is currently at 61.74% and suggests that the market can move in the upward direction. The current price is above the MA5. The %K has crossed the %D from below to the upside at 6.01% and suggests that the market may head upwards.
Overall Bias is Positive and short-term trades can be initiated with tight Stop Loss and Profit targets.
TRADE SUGGESTION-LIMIT BUY AT 16.48 TAKE PROFIT AT 16.78 STOP LOSS AT 16.33