Lucid is Pulling UpHello everyone, as we all know the market action discounts everything :)
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Shares of American electric vehicle manufacturer Lucid Group Inc (NASDAQ:LCID) opened higher Monday after the company delivered its first dream edition vehicles over the weekend.
Lucid shares opened up the session at $41 and are currently priced around the $45.90 mark, up 12% from Friday's close.
The long and short-term trends are both positive. This is looking good!
A new 52 week high is currently being made by LCID, which is a very good signal! However, this is in line with the S&P500, which is also trading near new highs.
Possible Scenario for the market :
The market is looking Bullish with a good momentum the first step will be reaching the resistance line at $53.70 by the end of the week, if the stock was able to breakout that resistance then we could be seeing a further push that could drive the value of the stock up to the $64.55.
The stock has a small possibility to go into a correction move that could reach the 35.90 but no further without any updates yet.
Technical indicators show :
1) The market is above the 5 10 20 50 100 and 200 MA and EMA (Strong Bullish sign)
2) The RSI is at 84.75 and trading in the overbought zone. with no major divergences found between the indicator and the market.
3) The STOCH is at the overbought zone with a positive crossover between %K and %D.
Support & Resistance points :
support Resistance
1) 35.90 1) 44.80
2) 30.01 2) 47.81
3) 27.00 3) 53.70
Fundamental point of view :
LCID has an Altman-Z score of 10.68. This indicates that LCID is financially healthy and has little risk of bankruptcy at the moment and The Altman-Z score of LCID is much better than the industry average of 5.85.
The company hosted an owners club meeting over the weekend where members took delivery of the vehicles.
"This is a big day. We always said until we've handed cars to customers, we haven't achieved a damn thing," said Lucid's CEO Peter Rawlinson.
New owners took the vehicles through the Lucid Owners Club inaugural rally to showcase the cars' performance capabilities.
Last week, Lucid said it intends to follow the deliveries of the Air Dream edition with deliveries of its Lucid Air Grand Touring versions.
This is my personal opinion done with technical analysis of the market price and research online from Fundamental Analysts and News for The Fundamental point of view, not financial advice.
If you have any questions please ask and have a great day !!
Thank you for reading.
