Mobileye Higher Off Autonomous Vehicle Deal With BMW, Intel

Mobileye NV MBLY shares are trading higher by $1.15 (3.5 percent) at $42.30 in Wednesday's session. The catalyst for the rally is the announcement that the company will assist in the production of 40 autonomous BMW vehicles that will be road by the second half of 2017.

The issue, which had a lower open, had bottomed at $40.65 before the news broke around 9:49 a.m. EST. It has continued to make new highs for the session with the current one standing at $42.50. That high coincides with its October 4 high ($42.47). If the rally continues, there may be additional resistance at its October 3 high ($43.20).

Mobileye has traded higher in three of its last four sessions (including today's price action) with one outlier being a $0.32 decline last Friday. Over that period of time, it has rallied from its December 28 close ($35.02) to its current level.