Shares of RTN has been lagging of late. While other large defense/aerospace names have been on fire(LMT/NOC) RTN has remained in a very tight range since its ugly post earnings breakdown(4/25). Is a catch up rally in the cards?
The declining 200D has been providing heavy resistance since the post Christmas rally ran out of steam in late February. It may be softening up a bit after being pierced last month.
Last week’s low marked a fourteen week low. A close below this level($173.00) would be a clear warning sign.
On the upside, it may take a clear take out of the April peak($189.00) to spark a fresh rally leg. There is plenty of room to run once above this area.
We do not have a position in RTN at this time.