AC Stock Price Aiming for $25? Hybrid Planes May Pave the Way

Air Canada (AC) stock price soars 3.31% in a single day as it plans to work to meet the carrier’s long term climate goals by deploying hybrid or electric planes. Air Canada along with several other startups said they would buy electric planes from Heart Aerospace, a Swedish startup.

Electric planes could help aviation – one of the most polluting sectors globally – reduce emissions.

Air Canada has also introduced new, non-stop seasonal flights between Montreal and Amsterdam for this Summer. The flight will operate five times a week with Air Canada Boeing 787 Dreamliner aircraft. The new flight may boost revenue.

Lithium-Ion Batteries Can Pose Problems?

Lithium-ion batteries (LIB) are the heart of the majority of present-day Electric Vehicles (EVs) and are the most expensive component of the whole unit. LIBs are lightweight and have high energy density, making these ideal for cars run on electricity. Lithium is expensive because it is scarce, however, some companies are recycling LIB batteries.

As the EV industry continues to expand, the need for recycled and upcycled LIBs is big apart from more Lithium mining. However, tightening regulations may drive up mining costs or even ban it completely.

AC Stock Price Analysis

AC stock price reclaimed the declining trendline, and gained 3.31% intraday. The trading volume of AC stock shows high volatility and selling pressure in the market. The price retraces taking support at $18.00, after which it tries to breach the first level. The projected rally may face resistance near $20.55, and if AC stock price breaks out of this resistance, it may aim for $25.

The RSI retraces from the seller dominant zone and moves to reach the half line. The MACD nears a convergence and records descending seller bars to show declining seller engagement. The indicators suggest ending the seller regime and can establish a stronger high run, marking new highs.

Conclusion

AC stock price witnesses a 3.31% increase in a single day’s session. Investors are showing interest in Air Canada’s plan to switch to hybrid and electric planes. The new flight could boost revenue. The holders of AC stock can rely on the support near $18.00.

Technical levels

Support levels: $18.00 and $16.05

Resistance levels: $20.55 and $23.15

Disclaimer

The views and opinions stated by the author, or any people named in this article, are for informational purposes only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.

Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing