Delta Air shares gain the most in 2 1/2 months on Thursday, airline to order jets from Airbus

According to a filing with the US Securities and Exchange Commission by Delta Air Lines Inc (DAL) on Thursday, it plans a firm order for 100 A321neo jets by Airbus as well as an optional order for additional 100 A321s. Deliveries are expected to begin in Q1 2020, while the new jets are to arrive through 2023.

Delta Air shares closed higher for a second consecutive trading session on Thursday. It has also been the sharpest daily surge since October 3rd. The stock went up 3.02% ($1.62) to $55.25, after touching an intraday high at $55.60, or a price level not seen since July 10th ($55.75).

In the week ended on December 10th the shares of the transportation company added 2.69% to their market value compared to a week ago, which marked a fourth consecutive period of gains.

The stock has extended its advance to 4.40% so far during the current month, following a 5.78% surge in November. The latter has been a third consecutive monthly gain and also the largest one since June.

For the entire past year, Delta Air shares retreated 2.96%. However, the stock has rebounded 12.32% so far in 2017.

“This is the right transaction at the right time for our customers, our employees and our shareholders”, Ed Bastian, Delta Airs Chief Executive Officer, said in a statement, cited by Reuters.

The second largest US airline by passenger traffic also said in the SEC filing that its operating margin would probably be 11% during the fourth quarter of the year. In comparison, a prior forecast by the company had pointed to an operating margin of between 11% and 13%.

According to CNN Money, the 18 analysts, offering 12-month forecasts regarding Delta Air’s stock price, have a median target of $63.50, with a high estimate of $75.00 and a low estimate of $57.00. The median estimate is a 14.93% surge compared to the closing price of $55.25 on December 14th.

The same media also reported that 16 out of 19 surveyed investment analysts had rated Delta Air’s stock as “Buy”.

Daily and Weekly Pivot Levels

With the help of the Camarilla calculation method, todays levels of importance for the Delta Air stock are presented as follows:

R1 – $55.40
R2 – $55.55
R3 (Range Resistance – Sell) – $55.70
R4 (Long Breakout) – $56.15
R5 (Breakout Target 1) – $56.68
R6 (Breakout Target 2) – $56.93

S1 – $55.10
S2 – $54.95
S3 (Range Support – Buy) – $54.80
S4 (Short Breakout) – $54.35
S5 (Breakout Target 1) – $53.82
S6 (Breakout Target 2) – $53.57

By using the traditional method of calculation, the weekly levels of importance for Delta Air Lines Inc (DAL) are presented as follows:

Central Pivot Point – $53.33
R1 – $54.75
R2 – $56.03
R3 – $57.45
R4 – $58.86

S1 – $52.05
S2 – $50.63
S3 – $49.35
S4 – $48.06