Alcoa (AA) touched its life-time highs in 2007/2008 & had attempted to rally again once in 2009. The 2009 rally was short lived and dragged on into 2011 into a large retracement/sideways zone. Since then the stock has seen lack-luster trading/investment action throughout 2012-2013, while also entering a base formation zone at the end of September 2012.
The base formed on the stock was very stable & the stock has recently rallied out of this base to break important pivots. The break of 8.88 has signaled an entry in the stock. It will see further resistance/targets at 9.53, 10.16, 10.95 & 12.22.
Support for the stock is in the form of a zone from 8.1-7.8. Holding above this support zone will be critical for Alcoa, breaching this zone on a closing basis will mean that the up-trend is broken. Any break below this zone will see the stock heading straight for 6.1 which is the only valid lower support for the stock.
So far the stock does look good, the pivots at 8.1 & 7.8 will be critical for the future of the stock & can be considered as the important stop-loss, as of now for the present trend.
Southwest Airlines (LUV) has been on a very successful up move, since the beginning of December 2012, when we entered the stock at the break of 9.17. It has been one of the most consistent stocks in the American equity markets, so far giving returns of over 55% over the last 8 months. The stock is still looking very good, holding recent support levels very well.
Watch the video on Southwest Airlines at the link below to see the full detailed analysis on the stock & to know the present support & resistance levels.
Southwest Airlines (LUV) - NYSE - Video - http://www.youtube.com/watch?v=FM7Gre3et1o
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