Related: Aerospace ETFs Can Take Flight Again
Matt Maley, equity strategist at Miller Tabak, pointed out that a technical analysis of Raytheon reveals the company may have more room to run.
“Over the summer, it broke above its multimonth trend line, so that’s positive. But more importantly, it had been bumping up against its 200-day moving average most of the summer, couldn’t break above it, and it finally has just in the last week or two,” Maley told CNBC.
The broader aerospace and defense ETFs have been trading well above their long-term trend lines since testing their support back in late June. Maley believed that the group is also starting to break out in a more substantial way than it had even just a few weeks ago.
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