Rolls-Royce shares: Ready for the next high swing!

Shares of Rolls-Royce Holdings have had a good start to the new week. On the London stock market, the price of the British engine maker rose by 3.37 percent to 334.20 British pence (GBX). This is the highest rate in nearly 5 years.

The high flyer from last year is back in double digit growth this year. After several weeks of hovering around the GBX 300 mark, a successful breakout to the top was achieved in February. The long downtrend since the record high in early 2014 has proved to be an additional obstacle.

The upward trend continues

The blast was recently confirmed as part of a flashback. By jumping to a new high, the chances of becoming the current high will continue to increase. On the upside, the next barriers are 337.70/344.40 GBX.

Above would be a chance for a 78.6% Fibonacci retracement of the 2014 high at GBX 356.50. Another zone of resistance lurks in the 370/380 GBX area before the GBX 400 level is considered.

Rolls Royce Stock Chart

Analysts recommend buying Rolls-Royce shares

The segment continues to receive strong support from analysts. Currently there are 11 Buy, 2 Overweight, 5 Hold and 1 Sell ratings. Price targets range from GBX 217 to 431 with an average price forecast of GBX 359.40.