Lucid share price spiked on Wednesday, gaining 12.7 percent to hit $3.98 at the closing bell. That marked the second successive day gain, recovering a substantial portion of the losses incurred in the previous two weeks. However, Lucid (NASDAQ: LCID) opened lower on Thursday, shedding 0.2 percent in the premarket session. That signaled a potential downward pressure when markets open.
The EV maker’s gains on Wednesday were triggered by the company’s announcement of a new SUV model, Gravity during its Technology and Manufacturing Day. In addition, the company revealed that its sales in 2024 to the end of August had already exceeded its full year sales for 2023.
Deliveries for the Lucid Gravity will start later this year, and its units will come fitted with Tesla’s North American Charging Standard (NACS) charging port. Meanwhile, the 2024 YTD sales means that Lucid is on track to meet (and probably beat) its sales guidance of 9,000 units for the full year.
Fitting the Gravity SUV with the NACS charging compartibility will give it access to Tesla’s over 15,000 charging stations, avoiding a key bottleneck in the EV ecosystem. In addition, Lucid will unveil its mid-size crossover SUV in 2026, with a price tag of under $50K. That will strengthen its muscles to take on the likes of Tesla’s Model Y. Meanwhile, Lucid share price continues to be propeled by the $1.5 billion investment commitment it got from Saudi Arabia’s Public Investment Fund.
Lucid share price was recently rejected at the upper Bollinger Band, but faces resistance at the $4.00 mark. That said, the Money Flow Index is at 98, signaling a strong positive money flow that could break above that mark.
As seen on the chart below, the bulls will likely be in control of Lucid share price trajectory if they stay above 3.84. That will likely see the first resistance at 4.00, but extended control could enable a break above that level to test 4.20.
Conversely, moving below 3.84 will favour the sellers, with the first support likely to come at 3.70. However, extended bearishness could break below that mark, invalidating the upside narrative and potentially taking action lower to test 4.14.
This post was last modified on Sep 12, 2024, 14:31 BST 14:31