Ford's Stock Continues To Ride Higher: What's Next?

Ford Motor Co. F shares are trading higher. On Friday night, Jim Cramer said he liked the stock more than some other electric vehicle stocks. He thinks Lucid Group Inc. LCID had gotten too high and he likes Ford more.

Ford is up 0.79% at $15.24 at publication time.

See Also: Cramer Likes Ford, But Suggests Waiting For Dips To Buy These Stocks

Ford Daily Chart Analysis

• The stock has broken out of what technical traders call a falling wedge pattern. The break of pattern resistance started the reversal.
• The price was slowly falling and being condensed between narrowing highs and lows until the price was able to break above resistance. This caused a trend change and now the stock looks to be forming into higher lows.
• The stock trades above both the 50-day moving average (green) and the 200-day moving average (blue), indicating the stock is likely facing a period of bullish sentiment.
• Each of these moving averages may hold as an area of support in the future.
• The Relative Strength Index (RSI) has been pushing higher the past few days and sits at 71. The RSI has moved into the overbought range now, signaling buying pressure is significantly outweighing selling pressure.

What’s Next For Ford?

Bullish traders want to see the stock continue to move higher after the breakout. Bulls are looking for a slow rate of growth in order for the growth to stay healthy. Bulls are in control of the stock and are looking for the stock to form higher lows to keep it that way.

Bearish traders are looking to see the stock begin to dip and head back to where it was during the falling wedge pattern. Bears are then looking to see the stock fall below the moving averages for a possible change in sentiment.