Solid News
Raytheon Technologies Corp., Upward Dynamics – in the Future
12/14/2022 4:48 PMShares of the American aerospace and defense conglomerate Raytheon Technologies Corp. continue to trade within the mid-term uptrend and since last week they have been testing the 100.00 mark (Murray level [8/8]), which they cannot overcome yet.
The company's prospects remain positive, as global geopolitical tensions and the growth of military budgets portend a significant increase in contracts. Of the latter, it is worth noting the agreement of the Raytheon Intelligence & Space division on the creation of a combat control network for the US Air Force. Counting on a serious increase in profits, the board of directors authorized the repurchase of outstanding ordinary shares in the amount of up to 6.0B dollars, which is almost twice the previous program of last year (3.5B dollars). This news was also positively received by investors, as it indicates the financial stability of Raytheon Technologies Corp.
Additional support for quotations, as well as for the entire stock market, is provided by monetary factors. Investors expect that in the conditions of slowing price growth, the US Fed will slow down the pace of interest rate hikes and may end its entire cycle in March next year. All these positive factors for the company make it likely that the upward dynamics of the shares will continue in the mid-term.
The price is testing the mark of 100.00 (Murray level [8/8]), consolidation above which will give the prospect of further growth to the levels of 103.12 (Murray level [+1/8]), 106.25 (Murray level [+2/8]). With a breakdown of the 96.88 mark (Murray level [7/8]), supported by the middle line of the Bollinger Bands, the decline will be able to resume to the area of 93.75 (Murray level [6/8], the lower line of the Bollinger Bands), however, such a movement option seems less likely scenario, since technical indicators point out the continuation of the upward trend: the Bollinger Bands are directed upwards, the Stochastic is also reversing upwards from the oversold zone, and the MACD histogram is stable in the positive zone.
Resistance levels: 100.00, 103.12, 106.25. | Support levels: 96.88, 93.75.