RIVN - could break up in near future

NASDAQ:RIVN   Rivian Automotive
RIVN went into basing formation since March 2023, testing the level 15.60 (neckline1) at least 4 times before a successful break up on 29 June, followed 2 days later by a huge volume gap up 3rd July. As of yesterday it closed right at the 2nd neckline @ 21.70, which incidentally is just above it's 200 day moving average (a positive).

It's RSI is very strong and there is a reasonable chance it could be breaking above this neckline2 very soon (scenario 1 indicated in red). However, as it is also rather overbought at the moment, we could see another pullback before another attempt to break up (scenario 2 indicated in blue).

Long the break of neckline 2 with initial stop loss below 19.30 (the recent 2 candles low).

The market is volatile and trade management with trailing stops is a good idea. Balancing between how much wiggle room to give it (ie where to place the stop loss) will take some practice and experience.

Disclaimer: Just my 2 cents and not a trade advice. Kindly do your own due diligence and trade according to your own risk tolerance and don't forget that money management is


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