The Rolls-Royce share price is under pressure ahead of its full-year and fourth-quarter earnings scheduled for Thursday this week. Its stock price ended the week at 108.55, which was 9% below the weekly high at 118.90p.
RR earnings ahead: Rolls-Royce Holdings will report its biggest annual loss on record on Thursday this week. In its most recent results, the firm said that it had lost more than 5.4 billion pounds in the first six months of the year. The losses likely increased in the fourth quarter since the airline industry was still languishing.
Nonetheless, there is a possibility that the management will sound upbeat about the rest of the year. Furthermore, more countries have continued to vaccinate their populations and the trend will continue. Also, more airlines are now traveling than they did in the fourth quarter.
Still, analysts will continue to watch the company’s cash burn and whether it is accelerating or improving.
Rolls-Royce share price outlook
On the three-hour chart, we see that the RR share price has been pressured lately. It has declined from a high of 119p to 108.5p. It has also moved from above the 23.6% Fibonacci retracement. Further, the shares seems to be forming a cup and handle pattern, with this pullback being a part of the pattern.
It has also formed what seems like an ascending triangle pattern. Therefore, in my view, the Rolls-Royce share price will keep rising as bulls target November 9 high at 137p, which is 15% above the current price.
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RR share price chart
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