Mover Alert: Uber Technologies

Over the course of the past couple of months, UBER has formed an important level to watch at the $30 (blue) mark. That level was support back in October, support and resistance in November, and now the stock is hitting $30 as resistance again.

ABOUT UBER TECHNOLOGIES

Uber Technologies, Inc. operates as a technology platform for people and things mobility. The firm offers multi-modal people transportation, restaurant food delivery, and connecting freight carriers and shippers. The company operates through following segments: Core Platform and Other Bets.

Take a look at the 1-year chart of Uber (NYSE: UBER) below with the added notations:

Over the course of the past couple of months, UBER has formed an important level to watch at the $30 (blue) mark. That level was support back in October, support and resistance in November, and now the stock is hitting $30 as resistance again.

THE TALE OF THE TAPE

UBER has a key level at $30. A trader could enter a long position on a break above that level with a stop placed under it. However, if traders are bearish on the stock, a short trade could be made instead on a rally up to the $30 mark.

Before making any trading decision, decide which side of the trade you believe gives you the highest probability of success. Do you prefer the short side of the market, long side, or do you want to be in the market at all? If you haven’t thought about it, review the overall indices themselves. For example, take a look at the S&P 500. Is it trending higher or lower? Has it recently broken through a key resistance or support level? Making these decisions ahead of time will help you decide which side of the trade you believe gives you the best opportunities.

No matter what your strategy or when you decide to enter, always remember to use protective stops and you’ll be around for the next trade. Capital preservation is always key!

Good luck!
Christian Tharp, CMT

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