American Airlines shares gain the most in seven weeks on Thursday, a joint venture endeavor with Qantas may be brought back to life

According to a January 26th statement by Alan Joyce, Chief Executive Officer of Qantas Airways Ltd, the Australian airliner along with American Airlines Group Inc (AAL) may attempt once again to obtain permission by the US Transportation Department for flight schedule and price coordination under Donald Trumps administration. Last Novembers joint venture application by the two companies was rejected by the US regulatory authority, while facing opposition from Hawaiian Airlines Inc and JetBlue Airways Corp.

American Airlines shares registered their largest daily surge since December 7th on Thursday, while also marking a third straight session of gains. The stock went up 3.51% ($1.68) to $49.59, after touching a daily high at $49.71, or a level not seen since January 11th ($49.90). In the week ended on January 22nd the shares of the transportation company added 0.73% to their market value compared to a week ago, which marked a second consecutive period of gains. The stock has extended its advance to 6.21% so far during the current month, after climbing 0.54% in December. The latter has been a sixth straight month of gains. For the entire 2016, the shares of the NASDAQ 100-featured carrier added 10.25%.

“What we need to do is work out the implications, which we are still working through and then talk about what we will do and review our options with the Trump administration,” Alan Joyce said in Beijing yesterday, cited by Reuters. “When we do, we will make an announcement of what our intentions are.”

According to Anthony Moulder, an analyst at Citi, due to a lack of price coordination, flights between Australia and the United States via American Airlines were being priced lower compared to flights via Qantas Airways, which mounted pressure on the Australian airliner.

“I think it has just taken perhaps a little bit longer than (American Airlines) would have hoped to where their offering has similar yields”, Moulder was quoted as saying by the same media.

American Airlines is expected to report on fourth-quarter performance before the opening bell on Friday.

Daily and Weekly Pivot Levels

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

R1 – $49.72
R2 – $49.84
R3 (Range Resistance – Sell) – $49.97
R4 (Long Breakout) – $50.35
R5 (Breakout Target 1) – $50.79
R6 (Breakout Target 2) – $51.01

S1 – $49.46
S2 – $49.34
S3 (Range Support – Buy) – $49.21
S4 (Short Breakout) – $48.83
S5 (Breakout Target 1) – $48.39
S6 (Breakout Target 2) – $48.17

By using the traditional method of calculation, the weekly levels of importance for American Airlines Group (AAL) are presented as follows:

Central Pivot Point – $47.60
R1 – $48.56
R2 – $49.11
R3 – $50.07
R4 – $51.02

S1 – $47.05
S2 – $46.09
S3 – $45.54
S4 – $44.98