Is This Stock Ready To Fly?

While many analysts have labeled the market laggards in 2023 a big problem and a reason to be bearish, I've taken the opposite view.

I believe it was GREAT that we saw such massive leadership out of growth stocks and now I've turned my attention to stocks that WERE leaders in late 2022 and into early 2023, but relinquished their leadership roles and consolidated for several weeks. Enter Boeing, Inc. (BA), which one could argue has been a dog since January. Again, I'd take the opposite side of this argument, pointing out that BA has been consolidating in very bullish fashion after a prior mammoth uptrend:

Enter Boeing, Inc. (BA):

While the price resistance is obviously the most important technical hurdle right now for BA, I'm seeing a strengthening industrials sector (XLI) and aerospace group ($DJUSAS). That portends an upcoming breakout for BA, which could take the stock much, much higher. Relative strength is solid and BA's AD line has been pushing higher and higher, despite the consolidating price action. All of this suggests to me that BA's consolidation days are nearing an end and we should expect yet another strong uptrend to emerge.

Happy Trading! Tom Bowley Chief Market Strategist EarningsBeats.com Better Timing. Better Trades.