Hello Traders! Today’s update will be on UBER, confirming a bearish divergence as the whole stock market tanks in response to recent developments on the corona virus.
Points to consider, - Failure of higher high - Critical 21 EMA broken - Structural support in confluence with .50 Fibonacci - RSI confirming bearish divergence - Stochastics projected downwards - Volume trading at average
UBER has put in consecutive higher lows with a recent failure of a higher high signalling weakness in the bulls. An important EMA (21), broke, a daily close below this level will increase the bearish projection.
Structural support is critical as this area is in confluence with the .50 Fibonacci, buyers are likely to step in if UBER retraces thus far.
The RSI confirmed the bearish divergence by putting in lower highs whilst the price put in higher lows. Stochastics on the other hand is projected downwards with lots of stored momentum.
Volume is trading at average, signalling that pressure from both buyers and seller is evident.
Overall, in my opinion, a confirmed close on the daily will increase bearish projection as the corona virus uncertainty takes its toll on the markets.
A retracement to structural support will be likely if the outbreak worsens
What are your thoughts?
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And remember,
“In order to succeed, you first have to be willing to experience failure.” ― Yvan Byeajee
Any updates on uber? Cant believe the strength in this stock. I feel it should drop due to the virus. The spy is up against resistance so I feel down tomorrow. What are your thoughts for next month?
AzizKhanZamani
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@Ginossim, Currently sitting on structural support, so a bounce here is likely, but really depends on the overall stock market environment at the moment, the next couple days will give us a better indication of where uber will head
travisford6
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I bought some march 27 calls for cheap today when it hit the day low around 35.50 I'm hoping to make a quick buck, what are your thoughts on holding it over the next few days??
UnknownUnicorn6770898
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any updates on uber. for march 5. is it bullish or bearish and what rate. thanks
AzizKhanZamani
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It really depends on how spy opens tomorrow, gap down will increase probability of oversold bounce, which I believe will create about across the whole sector, if we then see a lower high put in, that’s where I’d draw the line and get out. Hope that helps!