Buying Opportunity: Carvana (CVNA)

This analysis is fairly straightforward. Carvana (CVNA) is nearly fully retraced. Momentum downward is slowing, multiple indicators are showing a bottoming pattern, and open interest in calls is increasing. Although the price can still fall another 10-20% to the low, it's likely that a bottom is near. This is an obvious choice for long-term investors who want to enter at the bottom to go long. Be aware that this is a monthly chart and reversals can take time. Conservative investors may wish to wait until a bullish monthly or weekly candle forms before entering to go long.


Not financial advice.