The stock of Rivian Automotive Inc. (NASDAQ: RIVN) is trading downward and making lower lows. The stock has attempted to reverse the current trend and tried to break the critical levels close to the 50-day EMA, but it failed. This shows that the bears are dominant and unwilling to give up.
At the time of writing, RIVN stock was trading at $15.40 with a minor gain of 0.46% for the day, breaking below the 50-day EMA, which indicates bearishness on the charts. The trading volume is 48.686 Million and the average 10-day volume is 47.551 Million, showing a lack of interest from the buyers. The market cap of RIVN stock is 14.752 Billion.
However, RIVN stock has stayed in a downtrend over the past months and persisted in forming lower highs and lower lows sequences, facing rejection from the upper trendline, which acted as a barrier for exiting the trend. Moreover, the price action shows that Rivian stock has persisted in facing selling pressure, and buyers have stayed on the back foot. In contrast, sellers have a strong edge and continue to make short positions.
What Technical Indicators Say of Rivian Stock?
On the daily charts, Rivian stock showed a falling channel pattern, and the price is near the lower trendline below the 50-day EMA, showing weakness on the charts. Recently, the stock bounced back from the channel lows and headed toward a 50-day EMA.
Rivian stock is now trading near the lower Bollinger band. Furthermore, the chart shows sellers are gaining traction and preparing for the next bearish move.
Weekly-Time Horizon Analysis
Rivian stock has shown sellers’ strength on the weekly charts. Moreover, the price traded below the key EMAs, which shows further weakness in the stock. The RSI curve is near the oversold region at 41, and a negative outlook was noted, indicating bearishness in the stock. The MACD indicator also persisted to form red bars, and a bearish crossover was noted, which signals corrective moves.
Analyst Point Of View On Rivian Stock
There is a strong buy opinion among 24 analysts who follow Rivian stock. 14 of them rate Rivian as a strong buy, while 2 give it a buy rating. 7 of the analysts recommend holding the stock, and none of them advise selling it. Only 1 of the analysts has a strong sell rating for Rivian.
Rivian stock has an average price target of $26.62, which implies a potential increase of 72.85% from its current price of $15.40. The price targets vary from a high of $40.00 to a low of $15.00.
Summary
Rivian Automotive Inc. stock (NASDAQ: RIVN) technical oscillators support the bullish trend. The MACD, RSI, and EMA are emphasizing negative signs and imply that the downtrend may continue in the RIVN stock price. Rivian price action suggests that the investors and traders are bullish on the 1-D time frame. The price action reflects a bullish perspective at the moment. Moreover, Rivian investors avoid the fear of missing out. Scarcity is created in the stock market to gain more investors and creditors. It is better to keep it at arm’s length as this may result in one of the emerging reasons for market volatility.
Technical Levels
Support Levels: $19.41 and $23.72
Resistance Levels: $14.68 and $13.30
Disclaimer
This article is for informational purposes only and does not provide any financial, investment, or other advice. The author or any people mentioned in this article are not responsible for any financial loss that may occur from investing in or trading. Please do your own research before making any financial decisions.
Nancy J. Allen is a crypto enthusiast and believes that cryptocurrencies inspire people to be their own banks and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning.
Source: https://www.thecoinrepublic.com/2023/11/12/rivian-stock-is-sinking-lets-analyse-rivn-stock-price-faith/