EasyJet’s share price was heavily penalized and is now in an oversold situation near to a solid support area.

From a fundamental viewpoint, easyJet seems undervalued in terms of enterprise value. Based on the current price, its market capitalization, plus its net debt, represents 1.13 times its revenues.
This valuation is only 9.76 and 8.54 times, the two next years earnings.

Currently, the stock is oversold and, in the mid-term, is trading in a bearish trend. In the short term, this trend is reversed upon contact with the GBp 1450 area. EasyJet should be able to confirm its increase in the next trading sessions. This support is a trading opportunity in order to anticipate a technical rebound towards the trendline at GBp 1530.

Therefore, the proximity of the GBp 1450 support is an opportunity to go long on easyJet. The first goal is a return in the GBp 1500/1530 area, that is a potential of around 4%. In fact, the security has to cross this area in order to re-establish a bullish trend in the short term.
A stop-loss order can be placed under the support currently tested.