Shares of Boeing (BA) soared this morning, rising more than $3 after an announcement that the 787 Dreamliner will make it's maiden voyage by the end of the year. Boeing has been underperforming the market and appeared to be ready to explode.
STILL AN INTERESTING PLAY PLAY
When we view Boeing's price action on a weekly basis, the first thing to note is that the price has clearly passed the three-week test. It has easily blown through the price of three weeks ago and is now poised to test the neckline of a very obvious reverse head-and-shoulders formation. As the chart above illustrates, should the price break through the neckline, which comes in around 52.65, one can expect the price to rise to $75!!
Earlier today, Boeing shares reached $52.26. We will have to watch and see how things play out at this level.
POSSIBLE INSIDER ACTIVITY??
Several days ago, it was hard not to notice the mania that was occurring in Boeing stock. There had been a huge rush into the stock and it really spooked me. With today's news unfolding, it makes me wonder if the previous days' activities might be tied to insider trading. It appears so obvious at this point that someone knew something. If time allows, I will contact regulatory agencies to present this and see how they react. I will post any letters and responses I receive on this blog.