United Technologies Corporation (one of the 30 Dow components) is set to release its quarterly earnings tomorrow. As you can see from the chart below, UTX is currently testing an area of support near $54.20 - a level that we believe is likely to prop up the price of the shares if the news is slightly worse than anticipated. If earnings are substantially worse than expected, we'd expect to see the price of UTX fall toward the combined support of the 200 DMA and the Aug-Sept highs (support #2). Conversely, if the earnings come in better than expected, we'd expect UTX to climb toward the resistance of the descending trendline near $55.50.



UTX_012306_1.jpg
Filed Under:
Tickers in this Article:

comments powered by Disqus
Trading Center