Wedge & Breakdown

According to this link, Uber is the 95th most ‘valuable’ company in the world.

They’re also a magnet for lawsuits.

When looking at the chart, there’s a top lasting around five months; last week, was the breakdown.

Uber, UBER, Daily Close

Note on the left side of the chart is wild, volatile (unstable) price action.

It then coalesces into a small area (the wedge), with four failed attempts to move higher over this month and last.

Tight price action typically precedes a breakout move.

All of which resulted in positioning short as UBER-25-04 (not advice, not a recommendation).

As stated with yesterday’s update, the overnight Sunday session opens later today.

If either the Uber or XLF shorts, present the potential for sustained upside, an exit of both is likely (not advice, not a recommendation).

Stay Tuned

Charts by StockCharts

Note:  Posts on this site are for education purposes only.  They provide one firm’s insight on the markets.  Not investment advice.  See additional disclaimer here.

The Danger Point®, trade mark: No. 6,505,279