Nio (NIO) stock recovered after some early losses on Tuesday after releasing quite successful data regarding deliveries for July. The Chinese electric vehicle (EV) purveyor delivered 20,462 vehicles to customers in July. This was more than double the figure one year ago.

The EV stock is trading around $15.00 during the US session.

Nio stock forecast: Li Auto deliveries overshadow Nio, XPeng

Nio’s delivery figures for July put to bed a poor prior showing in June when the company delivered just 10,707 units. July’s deliveries rose 91% MoM by comparison and nearly 104% from a year ago.

Still, it was no match for Li Auto (LI), whose July deliveries clobbered both Nio and EV competitor XPeng (XPEV). All three EV startups used to be in sync with around 10,000 deliveries a month apiece just one year ago. But for the second month in a row, Li Auto delivered more than 30,000 units.

Li Auto delivered 34,134 vehicles in July, most of which are hybrid vehicles rather than Nio and XPeng’s fully electric offerings. Li Auto is following in the footsteps of BYD (BYDDY), the top EV maker in China that heavily promotes its hybrid offerings. Li Auto’s delivery figure for July rose 228% YoY, while XPeng’s 11,008 deliveries actually fell 5% YoY although they increased 28% from June. XPeng shares dropped 4% in the premarket.

Nio’s July delivery figure is comprised of 14,066 SUVs and 6,396 sedans. The major piece of the puzzle leading to Nio’s MoM surge in deliveries was the debut of its revamped ES6 electric SUV.

On July 26, Volkswagen announced a $700 million investment in XPeng, which spurred a rally in Nio’s stock price.

Nio stock forecast

Nio stock easily made it through the thicket within the $13 range, and now bulls have their sights set on the $16s. That price level (from $16 to $17) has plenty of historical volume from the April through October of 2022 time period.

If $17 can be overcome, then the market will look to $22 as their next price target. That’s the resistance level from September 2022, right before the EV maker shed 50% over the following several months.

With a reading just shy of 84, the Relative Strength Index (RSI) is severely overbought, meaning that a consolidation period would make the most sense at this juncture. Support should be found in the area between $13 and $14.

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