Flight Centre Travel Group Limited is engaged in travel retailing in both the leisure and corporate travel sector, and wholesaling. The Company's segments include Australia, United States, Europe. The Europe segment includes businesses in the United Kingdom, Ireland and Netherlands. The United States segment includes businesses in the United States and Mexico.
The daily chart for Flight centre FLT shows the Relative strength Indicator (14) divergence, this type of price divergence where the market makes a new price low on the 19th October as the Relative strength is rising and making a higher low is a precursor for price momentum change.
Over the past 26 trading periods FLT has formed a rounding base with a higher low in place from yesterday and today. This offers a BUY set up with a price target of $53.45, and a STOP LOSS set at 44.30.
The first resistance shown at $48.38 will be the key go to level in the coming days, a close over this level would be very bullish for further gains. Today’s engulfing candle sets up the BUY trigger.
Detailed below are the calculation for position size using 2% risk in a $10,000 portfolio.
