American Airlines had a fantastic rally in the second half of 2016 where the share price had almost doubled from $25.17 to $50 by 14th of December. Since then it went down just over 5%, trading around $47.37 now.
Looking at the technical analysis, we don’t believe AAL is ready to break the $47.50 resistance yet. We are expecting a slight drop to lower $46 level. After that we shall expect a rapid rally to $47.70 – $48.10 range.
This cannot be considered an investment advice!!