Photo courtesy of Lucid Group

Lucid Group Inc. LCID shares were trading higher Tuesday. The stock was able to break out of a sideways channel and saw a large bullish move.

Lucid shares were trading 6.48% higher at $44.42 Tuesday afternoon.

Lucid Daily Chart Analysis

• After the stock made a large bullish break past resistance, the stock pushed up and found more resistance near the $56 level. This area may hold as resistance again in the future. The previous resistance level near $30 may now hold as an area of support.
• The stock is trading above both the 50-day moving average (green) and the 200-day moving average (blue), indicating the sentiment in the stock has been bullish. Each of these moving averages may hold as a possible area of support in the future.
• The Relative Strength Index (RSI) has been forming higher lows for the past few days and sits at 59. This shows more buyers are entering into the stock and the overall buying pressure is greater than the selling pressure.

(Click on image to enlarge)

What’s Next For Lucid?

The stock saw a strong climb to $56 before falling back lower once again. The stock was able to find support above the previous resistance level, showing that the stock has some strength. The stock has since been forming higher lows and climbing back toward the resistance level once again.

Bulls are looking to see the stock continue to form higher lows and go on to eventually break above the $56 resistance. Bears are looking to see the stock turn around and start to fall back lower once again breaking below the old resistance level of $30 and heading toward the $17 level.