Boeing share price continues to flounder as nations ponder whether to open their airspaces to international flights or not. These decisions are being delayed in many countries as governments, and their national aviation authorities try to work out protocols for testing and possible quarantines of inbound passengers. While the wrangling continues, companies heavily exposed to the downturn of the aviation industry continue to see their share prices struggle. Boeing is one of such companies, whose struggles predated the coronavirus pandemic but saw its situation far worsened by it.
Boeing share price experienced a sustained drop last week after the company landed just one new plane order last month. Still, things could be looking up for the company soon as Enter Air announced it was ordering four 737-8 jets from the beleaguered company. Enter Air’s CEO Grzegorz Planiecki feels that the 737 MAX would quickly return to the air and would be the “best aircraft in the world for many years to come”.
Speaking of the 737 MAX, Transport Canada has expressed its readiness to conduct further validation flight tests of the 737 MAX airliner. The Europen airspace regulator EASA has yet to confirm its plans for such tests after declaring it would conduct its own validations before allowing the aircraft to fly in European airspace.
Technical Outlook for Boeing Stocks
Boeing share price is now up 1.29% on the day as at the time of writing. It has bounced from the 164.32 support price, and if upside momentum is strong, 186.40 could be the next upside target, followed by 204.32 and 234.37. However, recovery towards 2020 highs remains a daunting challenge as the price target for the 2020 high remains far off. Realistically, a lot needs to happen for Boeing share price to achieve such an objective, starting with a resumption of regular flying activities.
Conversely, weaker sentiment puts the 164.32 support under pressure. If this support breaks down, 151.64 becomes the next logical target. Further decline brings in 139.14 and 119.13 into the picture.