CVNA runs into sellers around 121.34 for the third day in a row
Carvana Co. Class A (CVNA) Technical Analysis Report for Jun 30, 2020 | by Techniquant Editorial Team
CVNA ended the month 29.28% higher at 120.20 after losing $0.17 (-0.14%) today on low volume, strongly underperforming the S&P 500 (1.54%). Closing within the prior day's range, prices failed to decisively move beyond the previous day's trading range in a lackluster session.
Daily Candlestick Chart (CVNA as at Jun 30, 2020):
Tuesday's trading range has been $2.70 (2.26%), that's far below the last trading month's daily average range of $7.51. Weekly volatility is also lower, being slightly below the market's average weekly trading range. The longer-term, monthly volatility is currently slightly lower than usual for CVNA. Prices continued to consolidate within a tight trading range between 115.23 and 121.69 where it has been caught now for the last three trading days.
During the whole day, prices traded within the prior day's range, unable to trade above the previous day's high or below the prior day's low forming an Inside Bar.
Prices are trading close to the key technical support level at 115.54 (S1). Carvana Co. ran into sellers again today around 121.34 for the third trading day in a row after having found sellers at 121.69 in the previous session and at 121.51 two days ago. The last time this happened on June 15th, CVNA actually gained 3.25% on the following trading day.
The trend is clearly bullish, showing an intact uptrend in the short, medium and long-term.
Buying could accelerate should prices move above the close-by swing high at 121.69 where further buy stops might get triggered. Selling could speed up should prices move below the nearby swing low at 115.23 where further sell stops might get activated.