CNBC’s Jim Cramer featured the chart analysis of our founder Bob Lang tonight on his flagship program, Mad Money.
BA Stock Analysis by Explosive Options’ Bob Lang
Using Bob’s eagle-eyed look at the candlestick charts, Cramer walked through a look at Boeing (BA):
“Just because a company seems like it’s in the crosshairs of the fiscal cliff, doesn’t mean its stock can’t go higher. Looking at both the technicals and fundamentals in Boeing, the stock appears to have wings,” said Cramer.
Bob’s analysis showed strong support around the $69 level and improving technicals, with the stock trading above the 10-, 50-, and 200-day moving averages.
Boeing Fundamentals Look Good Too
Cramer extended the analysis to discuss the solid fundamentals in Boeing stock, with many investors making the mistake of seeing Boeing only for its business as a defense contractor.
“Sure, they do a decent amount of defense business, but some of that is with other countries, and more important, the vast bulk of Boeing’s clients are not governments, they’re commercial aerospace players,” reminded Cramer.
Commercial airlines’ desire in a high oil price environment for increasingly fuel-efficient platforms has led to solid sales of the company’s flagship 787 Dreamliner long-distance airliners, shoring up the company’s fundamental outlook. CNBC also covered the spot on their website at http://www.cnbc.com/id/49811085
Category: Technical Analysis