ALK weekly Oct 1st
ALK (Alaska Air Group Inc) will trigger a short entry on any move below 42.20. T2 (34.40) is the current preferred target with a suggested stop over 45.10. ALK was recently shorted on a break of the daily uptrend line back in late July and hit the sole profit target for a quick 10% gain less than 10 trading sessions later. That previous trade was meant to be a relatively quick trade with a modest profit target because the price target on the daily chart also corresponded with this more significant, longer-term uptrend line shown here on the weekly chart. As expected, ALK did bounce off that initial tag of both the horizontal support (T1 on the daily chart) and the intersecting longer-term bull market uptrend line which goes all the way back to the July 2008 lows.
With ALK now trading below that long-term bull market uptrend line & a weekly candlestick close below likely to occur by end-of-day Friday, ALK looks to offer an objective long-term swing short entry here although it would be prudent to wait for prices to break below the former T1 horizontal support level of 42.20 (which would also take out today’s earlier LOD of 42.21).
click here to view the live, annotated weekly chart of ALK or click here to view the live, annotated daily chart of ALK (notations are from the previous trade).