UAL, daily
Summary
The targets are pretty clear...
Bulls need to see $25..which opens up $30
Bears need to see a break under the wedge floor of 23, which opens the door to a return to Nov'2011 lows of $16.
From a MACD cycle perspective, UAL is marginally negative, but direction is not clear right now.
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There has been a fair bit of talk on the clown networks today about the airlines. After all, oil prices are significantly lower than some months ago, and with the economy weak, lower oil prices for the carriers should be a real boost to profitability for the rest of 2012.
Yet, if the US economy is slipping back into recession, one of the first things to be cut back on by customers will be any non-essential air travel.
I'll be keeping an eye on UAL in the days to come, the direction it takes..could be a key tell for the sector as a whole.
