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- 4/17/2025 -
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Southwest Airlines (LUV) Technical Analysis

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Summary:
Weekly :Williams' Percentage Range is oversoldTrend support at 24.58
Daily :20 Day Moving Average has crossed below the 50 Day Moving AverageLane's Stochastic oversoldWilliams' Percentage Range is strongly oversoldLane's Stochastic and MACD bullish divergenceThe Bollinger Bands are historically far apart
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It was the negative week for the Southwest Airlines (LUV). During the week, the LUV dropped -1.45 points, or -5.54%, and closed at 24.74 on Thursday, April 17, 2025. Weekly volume was 18% above average.

Long-term trend: [See LUV long-term trend chart]
A long-term downtrend had started on December 21, 2017 at 66.99 and reached 21.91 on November 1, 2023. LUV lost 45.08 points, or 67.29%, in 305 weeks. The chart has formed a Rectangle chart pattern. The trend support level is at 20.88 and resistance is at 63.54. A rectangle chart pattern is characterized as a short-term horizontal channel and represents a trading range and indecision area that is usually resolves in the direction of the main trend. Chart analysis usually considers a rectangle pattern a continuation formation, but it can also mark significant top and bottom. A rectangle pattern within younger parent trend has more chances to mark a continuation. Use the following link to access a Rectangle chart pattern help, or use a Technical Stock Screener to see the list of stocks with Rectangle pattern in a long-term trend.

Medium-term trend: [See LUV medium-term trend chart]
A medium-term uptrend had started on November 1, 2023 at 21.91 and reached 36.12 on December 5, 2024. LUV gained -14.21 points, or -64.86%, in 57 weeks. The chart has formed a Rising Channel chart pattern. The price is near the trend support (24.58) line. The support is usually stronger when technical indicators are oversold. Use the following links to access Trend Support/Resistance Help, or use the Technical Stock Screener to see the list of stocks with price testing the trend support line in a medium-term trend.

Weekly Technical Indicators: [See LUV weekly technical indicators chart]
Weekly Williams' Percentage Range is strongly oversold. Use the Technical Stock Screener to see the list of stocks with weekly strongly oversold Williams' Percentage Range. Oscillators are designed to signal a possible trend reversal. They can act as alerts and should be taken in conjunction with other technical analysis tools. Oscillators can be used to confirm other technical signals. Use the following link to access Williams' Percentage Range help.

The weekly MACD line is below its signal line since March 28, 2025. The distance between MACD and the signal line is near its high and getting bigger. Use the following link to access a MACD help.

Short-term trend: [See LUV short-term trend chart]
A short-term downtrend had started on March 25, 2025 at 35.24 and reached 24.28 on April 17, 2025. LUV lost 10.96 points, or 31.10%, in 23 days. Price is near the trend low.

Daily Technical Indicators: [See LUV daily technical indicators chart]
Daily Lane's Stochastic is oversold while Williams' Percentage Range is strongly oversold. Use the Technical Stock Screener to see the list of stocks with oversold daily Lane's Stochastic or strongly oversold daily Williams' Percentage Range. Daily Lane's Stochastic and MACD have bullish divergence. Use the following links to access the Lane's Stochastic and MACD help, or use the Technical Stock Screener to see the list of stocks with daily Lane's Stochastic and MACD bullish divergence. The divergence between price and indicator is considering one of the most important buy/sell stocks trading signal. Use the following link to access Lane's Stochastic help.

The daily MACD line is below its signal line since March 31, 2025. This is an indication that the short-term trend is down.

The distance between the Bollinger Bands (64.51%) is close to one year high (53.91%). It is 405.21% higher then one year average. It indicates the period of high volatility of the stock price, and it is considered a sell signal for the option traders. The Bollinger Bands are often used with a non-oscillator indicator like chart patterns or a trendline. The signals are considered more reliable if these indicators confirm the recommendation of the Bollinger Bands. Use the following links to access the Bollinger Bands Help, or use the Technical Stock Screener to see the list of stocks with the price above the Upper Bollinger Band or below the Lower Bollinger Band.

During the last week, the 20 Day Moving Average has crossed below the 50 Day Moving Average. Such crossover is considered a bearish signal. The moving average crossover signals work better when the stock develops a strong trend, but they are ineffective when the stock is in a trading range. Moving average crossover systems can be effective, but should be used in conjunction with trend patterns, momentum indicators, candlesticks and other aspects of technical analysis. Use the following links to access Moving Average Crossover trading technique, or use the Technical Stock Screener to see the list of stocks with the Moving Average close to the price level.

Daily Oscillators
Description Value Status Divergence Chart
Relative Strength Index (RSI) 26.04
Williams' Percentage Range (W%R) 94.60
Strong Oversold
Lane's Stochastic (%D-Slow) 16.09
Oversold Bullish
Greed/Fear Indicator (GFI) 15.83
Oversold
Moving Average Converg./Diverg. (MACD) -1.29 Bullish
Weekly Oscillators
Description Value Status Divergence Chart
Relative Strength Index (RSI) 31.96
Williams' Percentage Range (W%R) 95.00
Strong Oversold
Lane's Stochastic (%D-Slow) 51.04
Greed/Fear Indicator (GFI) 32.31
Moving Average Converg./Diverg. (MACD) 0.30
Trading Signals
Description Value Chart
Upper Bollinger Band 36.17
50 Day Moving Average 30.16
20 Day Moving Average 29.51
Weekly Stochastic Crossing 29.02
Monthly Trendline Support 28.42
Parabolic System 25.94
Daily Stochastic Crossing 24.99
Price 24.74
Quarterly Trendline Support 24.58
Yearly Trendline Support 20.88
Lower Bollinger Band 20.22
Sector and Industry
Description Name Rank
Sector Industrials 5
Industry Airlines 15
Daily Trend
Description Value
Direction Down
Chart Pattern DownTrend
High 35.24
High Date 03/25/2025
Low 24.28
Low Date 04/17/2025
Weekly Trend
Monthly Trend
Description Value
Direction Down
Chart Pattern DownTrend
Status
Resistance
Support
High 36.12
High Date 12/05/2024
Low 24.28
Low Date 04/17/2025
Description Value
Direction Up
Chart Pattern Symmetric Triangle
Status Broken Support
Resistance 35.04
Support 28.42
Low 23.58
Low Date 08/05/2024
High 36.12
High Date 12/05/2024
Quarterly Trend
Yearly Trend
Description Value
Direction Up
Chart Pattern Rising Channel
Status Test Support
Resistance 36.94
Support 24.58
Low 21.91
Low Date 11/01/2023
High 36.12
High Date 12/05/2024
Description Value
Direction Down
Chart Pattern Rectangle
Status Valid
Resistance 63.54
Support 20.88
High 66.99
High Date 12/21/2017
Low 21.91
Low Date 11/01/2023
Warning: TheGreedyTrader.com presents weekly analysis. Technical indicators and trend parameters are calculated for the close of business day indicated on the top right corner of the screen.