Raytheon Co ( RTN ) announced today that it was awarded a $395.8 million contract for Romania’s Patriot Air and Missile Defense System.
The contract calls for the company to build Romania’s first ever Patriot missile defense system.
Technically speaking the daily chart depicts price action above VBP resistance, consolidating in a zone above the moving averages. Bollinger Bands are tight, signaling a potential breakout is in the offering. The past two days saw bullish bets being placed as RSI moves back above 50. Momentum (PMO) oscillator is turning higher. Volume is bullish.
The stock is trading 114.72 in the pre-market session on low volume. We are looking for a breakout to start a position if defense stocks continue to move higher. LMT, NOC, and GD have seen buying lately.
With the long weekend ahead, we are considering common at this time. We might take an options position next week should the Bollinger Bands open further.
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