easyJet (Q1 earnings 23 January)
Recent difficulties appear to be behind easyJet, but healthy growth in earnings is still forecast. A new strategy has boosted passenger numbers, as the firm claws back market share. A 17% rise in earnings is expected for the year, and a solid yield of 2.2% means the firm remains attractive to income hunters, even if the yield is down from the two-year average of 4.5%.
The rally here from the lows of August has seen the shares recover to £15.66, last seen before the Brexit vote. A breakout from here would target £17.69. However, with momentum overextended we may see a drop to the July 2017 high at £14.42, although even a dip to £13.71 still constitutes a higher low and thus a bullish sign.