TUI AG (LON: TUI) Resurging from Lower Levels, Will This Momentum Continue?

April 29, 2021 06:55 PM AEST | By Team Kalkine Media

Google News:

TUI AG (LON: TUI) Resurging from Lower Levels, Will This Momentum Continue? — Image source: ranjith ravindran, Shutterstock

Recent News

13th World Peace Forum held in Beijing, calls for shared responsibilit...

Enhancing Capacity and Logistics Flow, Minister Al-Jasser Lays Foundat...

Dalai Lama’s 90th: A Global Celebration of Compassion, Peace, and Wisd...

FAIR PLAY MENARINI INTERNATIONAL AWARD, A WAVE OF EMOTIONS MARKS THE 2...

Summary

TUI’s (LON:TUI) price witnessed an impressive rally in the last one month and added ~28.24% to March 29, 2021 low.

On a weekly chart, TUI’s prices are sustaining above a downward sloping trend line breakout level for the past 4 months.

Prices are trading above the trend-following indicator 21-period SMA and continuously taking support from it.

The MACD line is sustaining above the centerline and indicating a positive direction; however, a narrow margin between the MACD line and the signal line indicating the probability of a negative crossover in near future.

TUI AG (LON:TUI) is a Travel and Leisure company and operates travel agencies, airlines, cruise ships, hotels, and resorts. TUI’s price witnessed an impressive rally in the last one month and added ~28.24% to March 29, 2021 low. TUI’s prices entered a bearish phase from the end of November 2019 that continued till the mid of March 2020 and prices witnessed a massive fall of ~80.00 percent in that period. After that the prices traded in a moderate bullish trend. Price has shown a decent gain of ~28.24% in the past one month from the low of GBX 349.10 made on March 29, 2021 to the recent high of GBX 447.70 formed on April 28, 2021.

On a weekly chart, prices are sustaining above a downward sloping trend line breakout level for the past 4 months and indicating an upside direction for the stock. Prices are continuously getting support from an upward sloping trend line at the lower levels and sustaining above the same for more than seven months. On the higher side, GBX 471 is acting as a crucial resistance level for the stock and the price action around the level will further provide cues about the stock's short-term trend.

Technical Indicator Analysis (On the weekly chart):

The momentum oscillator RSI (14-period) is trading at ~62.13 levels, indicating a positive trend for the stock. Prices are trading above the trend-following indicator 21-period SMA and continuously taking support from it. Prices are also sustaining above another trend-following indicator 50-period SMA that formed a positive crossover with the 21-period SMA. MACD line (Moving Average Convergence Divergence) is sustaining above the centerline and indicating a positive direction; however, a narrow margin between the MACD line and the signal line indicating the probability of a negative crossover in near future. The summary of technical indicators is as follows:

After analyzing the current price action coupled with the technical indicator, TUI AG seems to have bottomed out. Prices are sustaining above a downward sloping trend line breakout comfortably; however, on the higher side, GBX 471 is acting as a major support level for the stock. A decisive breakout above the resistance level backed by the volume may provide more confidence to the bulls.

Disclaimer

The content, including but not limited to any articles, news, quotes, information, data, text, reports, ratings, opinions, images, photos, graphics, graphs, charts, animations and video (Content) is a service of Kalkine Media Pty Ltd (Kalkine Media, we or us), ACN 629 651 672 and is available for personal and non-commercial use only. The principal purpose of the Content is to educate and inform. The Content does not contain or imply any recommendation or opinion intended to influence your financial decisions and must not be relied upon by you as such. Some of the Content on this website may be sponsored/non-sponsored, as applicable, but is NOT a solicitation or recommendation to buy, sell or hold the stocks of the company(s) or engage in any investment activity under discussion. Kalkine Media is neither licensed nor qualified to provide investment advice through this platform. Users should make their own enquiries about any investments and Kalkine Media strongly suggests the users to seek advice from a financial adviser, stockbroker or other professional (including taxation and legal advice), as necessary. Kalkine Media hereby disclaims any and all the liabilities to any user for any direct, indirect, implied, punitive, special, incidental or other consequential damages arising from any use of the Content on this website, which is provided without warranties. The views expressed in the Content by the guests, if any, are their own and do not necessarily represent the views or opinions of Kalkine Media. Some of the images/music that may be used on this website are copyright to their respective owner(s). Kalkine Media does not claim ownership of any of the pictures displayed/music used on this website unless stated otherwise. The images/music that may be used on this website are taken from various sources on the internet, including paid subscriptions or are believed to be in public domain. We have used reasonable efforts to accredit the source wherever it was indicated as or found to be necessary.