Virgin Galactic Analysis
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Virgin Galactic has a history of large price
spikes leading up to significant flights.
In February, anticipation for the SpaceShipTwo
test flight corresponded to a 170% increase in
price from January lows. This price action was
preceded by a bullish break above Ichimoku
Conversion and Base lines, a golden cross on
the MACD, and a significant bollinger_band
compression (all on the 10 timeframe).
In July, anticipation for Richard Branson's
flight corresponded to a 300% increase from
May lows. This price action was preceded by
similar bullish breaks as the February run up.
The upcoming Unity 23 flight was
unfortunately delayed, pushed from late
September - early October to around mid
October due to possible component issues
and an FAA inquiry. However, should these
issues be cleared up, we may expect a
massive run to begin soon leading up to the
mid October flight.
We have solid support at $24, but the current
price region of $25 is an adequate region to
start accumulating. Below this, we have a gap fill at $21 and at $17. If you're waiting for a clear
bullish signal, you can wait for news about
SPCE's next flight to come out. I expect a
massive spike whenever Virgin Galactic clears up their component investigation or the FAA
situation. Good news like this can easily
deafen the overall market trend, sending this
stock into space. Other notable examples of
recent stocks that have defied the S&P 500
pullback include UBER and LCID.
So far, SPCE managed to break above several down trends (originating from the July peak). The bollinger bands are in a relatively compressed state, suggesting movement in the near future. Bullish indicators include a golden cross on the MACD and a break above the blue ichimoku conversion line. Stochastics are heading up to the overbought region while the RSI is near neutral, angling itself upward.
Price target at around the $30 gap fill. If we break past this, then $50, in accordance with
the resistance trend line formed by the
previous two peaks in February and July.
Virgin Galactic has a history of large price
spikes leading up to significant flights.
In February, anticipation for the SpaceShipTwo
test flight corresponded to a 170% increase in
price from January lows. This price action was
preceded by a bullish break above Ichimoku
Conversion and Base lines, a golden cross on
the MACD, and a significant bollinger_band
compression (all on the 10 timeframe).
In July, anticipation for Richard Branson's
flight corresponded to a 300% increase from
May lows. This price action was preceded by
similar bullish breaks as the February run up.
The upcoming Unity 23 flight was
unfortunately delayed, pushed from late
September - early October to around mid
October due to possible component issues
and an FAA inquiry. However, should these
issues be cleared up, we may expect a
massive run to begin soon leading up to the
mid October flight.
We have solid support at $24, but the current
price region of $25 is an adequate region to
start accumulating. Below this, we have a gap fill at $21 and at $17. If you're waiting for a clear
bullish signal, you can wait for news about
SPCE's next flight to come out. I expect a
massive spike whenever Virgin Galactic clears up their component investigation or the FAA
situation. Good news like this can easily
deafen the overall market trend, sending this
stock into space. Other notable examples of
recent stocks that have defied the S&P 500
pullback include UBER and LCID.
So far, SPCE managed to break above several down trends (originating from the July peak). The bollinger bands are in a relatively compressed state, suggesting movement in the near future. Bullish indicators include a golden cross on the MACD and a break above the blue ichimoku conversion line. Stochastics are heading up to the overbought region while the RSI is near neutral, angling itself upward.
Price target at around the $30 gap fill. If we break past this, then $50, in accordance with
the resistance trend line formed by the
previous two peaks in February and July.
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