Lucid Stock Surges Through Resistance: What's Next?

Lucid Group Inc. LCID shares shot higher Thursday. The company announced it would report earnings on Nov. 15.

On Wednesday, Lucid Group confirmed a timeline for customer deliveries of its first EVs. Initial deliveries of the Dream Edition launch versions of Lucid Air will be made available to the first group of reservation holders on Saturday.

Lucid is trading up 30% at $35.24 press time.

See Also: Lucid Air Dream Edition's First Customers Can Take Possession Of Luxury EV Sedan

Lucid Daily Chart Analysis

• The stock made a large move and pushed past resistance in what technical traders call an ascending triangle pattern.
• The $30 price level is an area the stock had found resistance in the past, but as it's now above the area, it may hold as support in the future. The $17 level is an area the stock has seen support in the past and may hold again if the $30 level is unable to hold as support.
• 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) shot higher and now sits at 78. This is well into the overbought range, an area where the stock is seeing much more buying pressure than selling pressure.

What’s Next For Lucid?

Bullish traders are looking to see the breakout continue and for the stock to keep rising. Eventually the stock will cool off and likely start consolidating. Bulls would like to see the stock hold its gains while it consolidates for possible further bullish moves in the future.

Bearish traders are looking to see the stock fade back lower and drop below the $30 level. If the $30 level began to hold as resistance again, it may start falling back toward the $18 level.