Lucid Group Is Outpacing EV Stocks Today: What's Next?

Lucid Group Inc. LCID shares are trading higher Wednesday, leading the electric vehicle sector after the company announced it has begun production of its electric vehicles. Lucid is planning to deliver 520 of its Lucid Air Dream Edition Models beginning deliveries in late October.

Lucid Group is up 8.3% to $26.58 at publication time.

See Also: The Next Tesla Or Lucid Motors? The Polestar SPAC Merger Could Put The EV Maker In the Lead

Lucid Group Daily Chart Analysis

• The stock was able to bounce at support at the beginning of the month and has since been pushing higher toward resistance.
• The stock saw a bounce around $17 in early September, an area the stock has been able to find support at before. The stock is marching higher and approaching the next resistance level, possibly near $30.
• The stock is trading above both the 50-day moving average (green) and the 200-day moving average (blue), indicating the sentiment in the stock has been bullish.
• Each of these moving averages may hold as a possible area of support in the future.
• The Relative Strength Index (RSI) has been climbing higher the past couple of weeks and now sits at 63. This shows the stock is seeing an increase in the amount of buying pressure.

What’s Next For Lucid Group?

Bullish traders saw a large move upward in the sideways channel and are now looking for a period of consolidation before the stock continues to form higher lows. Bulls would then like to see the stock break above the resistance level.

Bears would like to see the stock begin to fall toward the $17 level and break below. The stock is holding the $17 level as support, so a break below this level might cause a further bearish push.