RTX is oversold after a sharp decline; potential buy for a bounce to ~$194 from ~$170 support.

Next up, guys, into some uh defensive plays. And when I say defensive, I'm not talking about Colgate for Pro or or Proctor and Gamble uh Clorox. I'm talking about actual military defense.

This is RTX, RAON, previously known as Rathon. Look at this nasty. Now, this is the weekly time frame. Keep in mind, guys, this trend line was taken all the way back here in April of 2025, connected over to this pivot low here in May of this year.

But look here at the top, guys. Since August 10th, we've had one week, two weeks, three, four, five, 6, 7, 8, nine weeks in essence going straight down. I know we've got one green candle in there, but guys, that is a nasty sell here on RTX.

Now, what do we talk about here in trading the close, guys? We talk a lot about breakout retrace plays, breakdown, bounce, then fade plays as well. All right, so if we go back into this chart and we notice here, we've got that inclining trend line that I highlighted that we had cleanly broken down from and we've gotten that nice extension.

Now, here's the thing. Where's going to be the solid more uh conservative level of support? Well, that's displayed right here on your chart. Right down near $170. uh we have a gap fill plus we've got the 50% fib retrace.

Now if you're aggressive here, we're actually right on top of all of these previous pivot tops. Plus, we're oversold on the daily. Not quite on the weekly yet, which is why I retain the support level down here at $170, the 50% fib retrace from that pivot low in April.

So, this this is going to be a very good spot for a potential bounce if we have price continue moving back down into it. picture changes slightly if we come down, bounce, hit that resistance, and then fade back into that zone.

Still likely will be support, but likely won't give the robust bounce that comes after a sharp vertical move down on the charts. We if we do and are able to accomplish this, I certainly would be interested in picking up some RTX for a retrace uh back up to the broken trend line roughly right around $194.

Uh actually before I flip over, let me show you the daily time frame and to illustrate how price on RTX could very well start bouncing in this range. That would be again the more uh aggressive route, not the conservative, but you see on the daily RSI, it's under 20, guys.

Anything under 30 is considered oversold in the near term. So, this is actually if you're in a swing trader and say you're not an options trader, this would be a spot where you could start nibbling, dipping your toe in the water to pick some up for a pending bounce uh back up to this broken trend line.

That would only be about $9 to $11. Uh but at least that would be a spot that I would consider uh especially with all this support that I see strung out currently right where uh price is located.