Lordstown Motors Stock Dips: Technical Levels to Watch

Lordstown Motors Corp. RIDE shares dropped Friday after a bearish short report was released by Hindenburg Research. The stock initially took a plunge near 20% Friday and was down 14.03% at $15.22 at last check. 

Lordstown Technical Levels To Watch: The short-term, 5-minute chart above shows the stock was previously holding the $16 level as a support before breaking through and falling lower. This area may now potentially hold up as a short-term resistance level. 

The stock took a dip and was able to find a bottom near $14 and has managed to stay above the level. This area could hold up as a potential short-term support. 

Bulls want to see the stock cross back above the resistance level and trade where it has been for the past few days. Bears would like to see the stock break through the potential support and start making lower lows.

The daily chart above shows that the stock seems to be trading in a channel for the last year. The bottom of the channel is near the $14 level, where the stock has bounced multiple times in the past.

The top of the channel is shown by the price level near $30. The $30 level is a place on the chart the stock has previously struggled to cross. 

The stock being unable to break these key levels shows a technical trader that they may hold in the future as a key level also.

Bulls would like to see the stock get over the resistance level with a period of consolidation before another higher move may occur. Bears would like to see the stock fall through support with a consolidation period below before a further downward move may happen.

Lordstown Motors is trading with a market cap of $1.46 billion and a public float of 99.48 million shares.

Photo courtesy of Lordstown Motors.