Uber Technologies Inc. (NYSE:UBER) stock has been on quite a ride, climbing 24.94% year-to-date and 62.31% over the past year. But while the company's robot-filled future is making headlines, the technicals tell a different story.
Uber may be automating deliveries, but its stock movement is hitting some resistance.
UBER Stock Chart: Short-Term Bears, Long-Term Bulls
Chart created using Benzinga Pro
Currently, Uber stock's price is $72.94, just below its eight-day and 20-day simple moving averages (SMA) of $74.72 and $73.32, respectively, signaling short-term bearishness.
But don't hit the brakes just yet. The stock is above its 50-day SMA of $70.82 and 200-day SMA of $70.26, showing that long-term trends are still bullish, despite the recent pullback.
Chart created using Benzinga Pro
Bullish Indicators Flashing Amid The Dip
The MACD (Moving Average Convergence Divergence) indicator is flashing a 0.93 reading, which suggests potential bullish momentum might be brewing. Similarly, Uber's RSI (Relative Strength Index) sits at 49.25 and is heading lower towards oversold territory.
This could mean Uber stock might be poised for a rebound after this recent dip.
As for Bollinger Bands? They're hovering between $67.97 and $77.88, and with the stock currently in this range, things could get bumpy before a potential breakout.
Partnerships Fuel Uber's Future — But Can They Power UBER Stock?
So, what's weighing on Uber stock despite some promising technicals? It could be the balance between short-term bearish signals and long-term bullish potential.
While Uber's partnerships, including a multiyear deal with Avride to deploy delivery robots and autonomous vehicles, have wowed the market, these innovations haven't fully taken control of the stock price yet. This partnership will roll out in Austin, Dallas, and Jersey City, eventually bringing robotaxis into the mix.
Read More: Uber & Avride Join Forces for Autonomous Delivery; Partners With ENSO For Low-Emission EV Tires
At the same time, Uber's recent three-year strategic partnership with tire company ENSO to introduce low-emission EV tires could help Uber align with the sustainability movement.
However, while these initiatives are future-forward, investors seem focused on the now, where technical indicators remain mixed.
Uber's stock may be down from its highs, but it's not out. Short-term signals flash bearish, yet long-term indicators still show bullish promise.
With innovation and strong technical support on the horizon, Uber stock has the potential for upward momentum. But, monitoring key indicators like moving averages for signs of continued growth is crucial.
- EVgo Vs. ChargePoint: Analyst Verdict On Which Stock Leads The EV Charging Race?
Photo: Shutterstock
