Get Uber Technologies Inc. Reportshares are giving long investors the reaction they wanted: a nice upside pop following the ride-share business' earnings announcement.
The stock is up by around 17% on Tuesday, surpassing analyst expectations. Strong travel trends continue to drive its top-line results.
Trips accounted for 1.87 billion dollars, up 24% year over year and 9% sequentially.
This year, travel trends have improved significantly across the globe as many individuals are now able to travel with fewer restrictions and more options. While this is wreaking havoc on airports, it is helping businesses like Uber gain momentum.
Get Lyft Inc. Ubers report has benefited the company, with its stock up more than 15% on the day. Lyft will report its quarterly results on Thursday.
Uber's stock has risen 44% from last month's low, but the stock has declined more than 40% this year and 55% from its all-time highs.
Uber Stock is being traded.
Uber's weekly stock chart.
TrendSpider.com has provided a chart as acourtesy.
Uber's weekly gain would be its third in a row. However, despite the previous two weekly gains, the stock has not been able to close above the 10-week moving average.
Is Airport Flight a Barrier to Travel's Future?
Season Preview of Cannabis Earnings: Is Consumers Refusing to Pay Attention?
Stocks are mixed today 8/2 as Pelosi's visit to Taiwan spurs risk-off betting.
Uber is trading above the moving averages of 10 and 21 weeks with today's gain.
Although this is a positive development, the stock is trading in a critical area. Thats the $28.50 area and downtrend resistance (blue line).
The latter is a bit arbitrary and, in my opinion, does not have as much impact as the $28.50 zone. Note how this level was significant support in Q2 and Q3 of 2020 as well as in Q1 2022 before it failed in May.
If Uber stocks can reclaim this level and remain above it, it opens the way to the $31 level. There, it finds the 38.2% retracement and the 10-month moving average. If it can eventually push through that, $35 might be the next.
The stock has found its 50-week moving average and a 50% retracement there.
If Uber's stock cannot be pushed higher and instead is rejected, what happens? The $25 level and the 10-week moving average are in play.
In this situation, the Bulls will want to see this zone act as a support because a $20 pullback might put the bulls back in the game.
Above $28.50 is acceptable, but traders should remain on their toes when it comes to this measure.