Skip to main content

Market Overview

2 Uptrending Stocks To Watch That Reported Better-Than-Expected Earnings

Share:
2 Uptrending Stocks To Watch That Reported Better-Than-Expected Earnings

AT&T Inc. (NYSE: T) and Southwest Airlines Co. (NYSE: LUV) are two stocks that have been uptrending throughout the previous six months. AT&T gapped up Thursday after reporting better-than-expected EPS and sales results.

Southwest Airlines also reported better-than-expected first-quarter EPS.

tdaily4-22-21.png

AT&T Daily Chart Analysis

  • AT&T gapped up Thursday and is nearing a potential area of resistance on the chart.
  • The stock is trading above both the 50-day moving average (green) as well as the 200-day moving average (blue), indicating sentiment in the stock has been bullish.
  • Both of these moving averages may hold a support level sometime in the future.

Key AT&T Levels To Watch

  • AT&T is forming what technical traders call an ascending triangle pattern.
  • This bullish continuation pattern forms when higher lows are built up to a flat top resistance level before breaking out above and pushing the stock higher.
  • The stock gapped up Thursday morning, approaching the possible flat top resistance level near the $32 mark.
  • As shown on the chart above, the $32 area has been an area where sellers are able to overwhelm buyers and push the stock back down.
  • The stock has been building higher lows, as seen by connecting the lows. A break below this line could bring about a stronger downward push. The stock may not find support again until it reaches the $26.50 level.

luvdaily4-22-21.png

Southwest Airlines Daily Chart Analysis

  • Southwest Airlines looks to have broken out of an ascending triangle pattern and is now looking to consolidate above previous resistance.
  • The stock is trading above both the 50-day moving average (green) and the 200-day moving average (blue), indicating sentiment in the stock has been bullish.

Southwest Airlines Key Levels To Watch

  • The ascending triangle pattern broke out when the stock broke above the previous resistance of $59.
  • For the stock to continue on its upwards momentum, the stock will now need to consolidate above $59 and hold this level as support.
  • Bearish traders would like to see the stock fall back below the $59 level and eventually below the line connecting the lows. The price falling below the lows may indicate the trend is changing to bearish.

Southwest Airlines is the top holding in the U.S. Global Jets ETF (NYSE: JETS).

 

Related Articles (LUV + JETS)

View Comments and Join the Discussion!

Posted-In: Earnings Long Ideas News Short Ideas Technicals Retail Sales Travel Trading Ideas Best of Benzinga

Don't Miss Any Updates!
News Directly in Your Inbox
Subscribe to:
Benzinga Premarket Activity
Get pre-market outlook, mid-day update and after-market roundup emails in your inbox.
Market in 5 Minutes
Everything you need to know about the market - quick & easy.
Fintech Focus
A daily collection of all things fintech, interesting developments and market updates.
SPAC
Everything you need to know about the latest SPAC news.
Thank You

Thank you for subscribing! If you have any questions feel free to call us at 1-877-440-ZING or email us at vipaccounts@benzinga.com