Defense Giant's Dip: A Buying Opportunity?

Core Viewpoint - RTX Corp (RTX) presents an attractive entry point for options traders as the stock has recently pulled back from its record high, currently trading at $171.59 after a 1.9% increase [1] Group 1: Stock Performance and Technical Analysis - The stock is currently within 0.75 of the 80-day moving average's 20-day average true range (ATR), having remained above this level 80% of the time in the past two weeks and 80% of the last 42 trading sessions [2] - Historical data shows that similar signals have occurred seven times in the past decade, with the stock being higher one month later 71% of the time, averaging a 4.1% gain [2] - A potential move could see the stock reach $178.52, close to its all-time peak, and the stock has gained 48% since the beginning of the year [4] Group 2: Market Sentiment and Indicators - During the recent pullback, RTX has remained within a channel of higher highs established since May, indicating resilience [4] - The 14-day Relative Strength Index (RSI) of 32 is near "oversold" territory, which could favor bullish sentiment [4] Group 3: Strategic Developments - RTX has secured a strategic collaboration with Amazon Web Services (AWS), suggesting that the company's lucrative backlogs are expected to improve through 2026 [5]