- Up by more than 40% YTD, Rolls Royce share price has recently experiencing reduced buying. What are the chances it has ran out of steam?
Rolls Royce (LSE: RR.) has had an amazing year, but its rise seems to be losing steam. A possible double-top pattern on the daily chart is flashing a warning, hinting the stock might be tired after its big run.
Is the Rolls-Royce Rally Over? The Double-Top Caution
It’s too soon to say if Rolls-Royce stock has peaked for the year, but the risk is real. The stock price has jumped up, thanks to CEO Tufan Erginbilgic’s big changes that have increased profit and cash flow. However, this double-top pattern, a sign that things might go down, is worrisome.
This pattern usually shows up after a long period of growth and means that buyers are having trouble pushing past a certain price. If the neckline is broken, the price could fall back down.
The stock’s recent behavior shows the market is trying to figure out if the company’s really good results are worth the high price after such a big jump. Because everyone’s unsure, the price is just hanging around its highest points of the year. Analysts at Goldman Sachs still think it could reach 1,250p, which is about a 9% increase, because they’re hitting their FY27 targets early. The stock’s 1,177% three-year return dwarfs the FTSE 100, but at a forward P/E of 16.78, it’s less of a bargain than in prior rallies.
What Could Trigger Another Rolls Royce Rally?
Sustained aerospace tailwinds top the list of what could trigger Rolls Royce price rally. Civil engine flying hours are back to 110% of pre-pandemic levels, as per the company’s trading update. In addition, defence contracts and power generation demand from data centres give the company more ways to make money. In addition, a £1bn share buyback, now feasible post-debt elimination, would juice returns, echoing the 850% three-year climb.
However, revivals aren’t guaranteed, and pitfalls abound. Demand fragility looms large: aviation slumps from economic slowdowns or fuel spikes could reverse fortunes, as seen in pandemic scars. Geopolitical flares, supply chain snarls, or overreliance on short-term financial tweaks risk eroding the “cash machine” narrative.
Rolls Royce Share Price Prediction
The RSI (Relative Strength Index) is at 50.25, which means things are kind of balanced right now. Neither buyers nor sellers are really in charge. On the chart, the pivot is at 1,140p, which is near the 50-MA mark. The upside will likely prevail if action stays above that level acts as the crucial resistance for the double-top pattern.
If the stock breaks through the barrier at 1,160p, it would mean the double-top formation is invalidated, and the price could keep going up to test 1,177p, maybe even to 1,200p. There’s primary support around 1,119p, but an extended control by the sellers could break below that level and test the psychological 1,100p mark.
Rolls Royce share price daily chart on November 13, 2025, with key support and resistance levels. Source: TradingView
Strong civil aerospace demand, £1bn buyback, defence growth, and tariff relief could drive upside. This is in line with the company’s recent trading update and Goldman Sachs targets.
The first support is likely to be at 1,119p and the second at 1,100p. Initial resistance is likely at 1,160p, above which it could go to 1,777p and potentially test 1,200p in extension.
The double-top pattern is considered bearish because it is formed when the price tries to go past a certain point twice but can’t. Traders in the equities markets usually believe that if the price then drops below a certain neckline, it’s time to sell.
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