Boeing Stock Price Prediction: More Selling to Follow On Breakdown of Triangle

Boeing stock price fell on Tuesday after the company said it would cut the production of the 787 Dreamliner following the discovery of a structural defect.

Providing forward guidance on production, the company expects to deliver less than half of the outstanding orders for the aircraft it has in its inventory. The company is conducting inspections and repairs to the defective design. 

Boeing’s stock price fell more than 3% on Tuesday on the news. The troubled planemaker has been struggling to shake off the scandal involving its 737 MAX aircraft following two high-profile crashes, which claimed the lives of all passengers on board. A near-complete cessation of air travel in 2020 due to the pandemic also hit the stock very hard.

Technical Levels to Watch

The daily candle is about to challenge the support at 229.50, which also intersects the triangle’s lower boundary. A breakdown of this level brings 222.18 and 215.73 into the picture as the next downside targets, even as 207.84 and 201.58 become more relevant on a steeper decline.

On the flip side, a bounce on 229.50 could allow for a retest of the 234.37 resistance. If this level is uncapped, 240.95 and 247.02 become new targets to the north. An upside break of the triangle’s border allows Boeing stock price to hit 252.21, with 259,44 and 264.00 also in the reckoning.

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Boeing: Daily Chart

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