In this chart I analyzed the key levels of LCID, along with a brief overview of it's channels, to come to my conclusion.
In the chart, I measured 6 key levels (highlighted as purple boxes) in which the stock bounced respectively between those levels. the most bottom one is the one with the strongest support, with the stock never breaking below that (not saying it could never do that, just saying highly unlikely).
Anyways looking at LCID's recent downtrend, my little channel lines showed that it broke through the downwards trend twice in an upwards momentum. This is signifying its start for pattern reversal as the highs become higher than the lows.
Looking at its future growth I measure some more possible key levels that could become a resistance level for it. Overall, in the event that it bypasses them all and goes to the highest one, there would be a profit of about 23.60%, and a risk to reward ratio of 1.93. That's if you're just planning on holding it, though; there seems like there are many opportunities to perform day trades or options on it as it seems to have high volatility, so if played correctly you could experience three times the profit or more.
Overall if the pattern breaks off and doesn't go all the way to the end, it'll be easy to spot as it'll probably bounce off from one of those key levels.
In the chart, I measured 6 key levels (highlighted as purple boxes) in which the stock bounced respectively between those levels. the most bottom one is the one with the strongest support, with the stock never breaking below that (not saying it could never do that, just saying highly unlikely).
Anyways looking at LCID's recent downtrend, my little channel lines showed that it broke through the downwards trend twice in an upwards momentum. This is signifying its start for pattern reversal as the highs become higher than the lows.
Looking at its future growth I measure some more possible key levels that could become a resistance level for it. Overall, in the event that it bypasses them all and goes to the highest one, there would be a profit of about 23.60%, and a risk to reward ratio of 1.93. That's if you're just planning on holding it, though; there seems like there are many opportunities to perform day trades or options on it as it seems to have high volatility, so if played correctly you could experience three times the profit or more.
Overall if the pattern breaks off and doesn't go all the way to the end, it'll be easy to spot as it'll probably bounce off from one of those key levels.