Auckland International Airport Ltd (AIA.NZX)

20 September 2018



Technical Summary: The five year chart shows that for the last few years the stock of AIA has been in a long consolidation period. The stock appears to find strong support at the bottom end of the trading range at $6 per share. This will be the logical place for mean reversion traders to pick up a position. The stock has previously found resistance around the current levels. It is therefore a question of whether this is the time that the stock will break through or if the resistance will come in play again. You have to suspect that at some point the stock will move to new highs so the question is when. At the very least it would be surprising not to see some consolidation or selling at these levels. Traders looking for a breakout trade at these levels should look for signs that selling supply is dwindling.

Will the stock consolidate here or find its way through resistance?

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