Rolls-Royce still rangebound between 140p-159p. The luxurious carmaker is expected to report its earnings tomorrow, which may determine its future price movement.

Taking a look at Rolls-Royce as the luxurious car maker is expected to report its earnings tomorrow. Earlier during the year the company secured contracts and various orders, which boosted the price of its stock since February. Currently, its shares are trading at around 154p a share and we can see that it’s now in a good position to reach its previous high of 159p (upper white trendline). 159p is now the key resistance point, a break and close above it could see the price move higher. With the target then of 175p-180p. Looking at the downside, there are various levels providing support in case of any retracements. Support levels sit at 148p then at 143p and finally a key level at 132p (corresponds with the green trendline). A dip below 132p could see the price slide further, even as low as 106p. Although, at this moment in time, this is only more likely if the company reported really poor earnings with a poor outlook for the rest of its financial year. Looking at the technical indicators, MACD is negative but curving towards a neutral stance. Whereas RSI is positive as it reads 61. Note to investors: on the weekly timeframe, the volume of the MACD is lowering, and seems like it's beginning to falter. Also, the RSI is within the oversold territory as it reads 74. Therefore, a positive earnings report may see the price edge higher in the short term and then potentially see a retracement. In theory, the retracement should also only be short-term and the price should continue towards the upside in the mid-long term.