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IAG Share Price Up 5% After Omicron-Induced Selloff

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Written By: Eno Ikenna Eteng
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    Summary:
  • The IAG share price is up 5%, sending the stock to the top of the FTSE 100 gainers' chart as the Omicron-induced selloff eases.

The IAG share price is seeing some gains this Wednesday, as investors take a breather from the relentless selling performed on airline stocks in response to the emergence of the Omicron variant of the coronavirus.

With travel bans not being extended as widely as was feared, and experts reporting that positive cases have so far not shown signs of severe illness, some confidence is returning to the sector. However, the bearish sentiment is still widely pervasive, and the IAG share price is not out of the woods yet.

As of writing, IAG was sitting atop the gainers’ chart on the FTSE 100 index with a 5.02% gain.

IAG Share Price Outlook

The intraday recovery sends the IAG share price to the 136.64 resistance, the previous completion point of the measured move from the large double top. Continuation of the recovery requires an uncapping of this resistance, which brings 143.94 into the mix. 149.72 and 156.40 are additional price targets to the north. 

On the flip side, rejection at 136.64 puts the price under pressure, with the floor of the support zone at 124.48 standing as the only barrier before multi-year lows at 110.26 (22 September/22 October 2020 highs) and 102.68 (3 August 2020 low) become available. 

IAG: Daily Chart

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This post was last modified on Dec 01, 2021, 11:50 GMT 11:50

Written By: Eno Ikenna Eteng

Eno's work as a technical analyst and author since 2009 is well recognized in the industry and on several freelance platforms. He is also a member of the prestigious UK Society of Technical Analysts and a top-ranked participant in the Basic Investment Banking and Asset Management simulations with Amplify Trading.

Published by
Written By: Eno Ikenna Eteng