Current trend

The shares of RTX Corp., an American aerospace and defense conglomerate, are trading in a correction trend at 120.00.

The company’s Collins Aerospace division has received FAA Technical Standard of Performance (TSO) approval for the production and use of a multi-core processor in computing systems in the cockpit of civil and military aircraft. During testing, it turned out that the Collins Aerospace processor provides 75.0% more control capabilities compared to those currently in use, making the corporation’s multi-function display the world’s first to receive compliance certification for use in civil and military aircraft. In addition to being much faster, it consumes 40.0% less energy, which is critical for the industry.

The financial report is due on October 22: revenue may amount to 19.85B dollars, higher than 19.00B dollars in the same period a year earlier, and earnings per share — 1.34 dollars against 1.25 dollars. On September 5, the corporation paid dividends of 0.63 dollars per share, which is equivalent to a quarterly yield of 2.13%.

Support and resistance

On the daily chart, the trading instrument is growing within the channel with dynamic boundaries of 129.00–115.00.

Technical indicators strengthen the buy signal: the Alligator indicator is expanding the range of fluctuations, fast EMAs are above the signal line, and the AO histogram is forming ascending bars close to the transition level.

Resistance levels: 121.50, 129.10.

Support levels: 117.10, 108.20.

Trading tips

Long positions may be opened after the price rises and consolidates above 121.50, with the target at 129.10 and stop loss 118.00. Implementation period: 7 days or more.

Short positions may be opened after the price falls and consolidates below 117.10, with the target at 108.20. Stop loss — 120.00.