What is Coming NEXT for Lucid ⚠️ Lucid Shorts Increasing 3.5M TODAY │ KEY Support to HOLD
Overall Thesis
Shorts are aggressively adding 3.31M shares today and the stock has broken below the Alma, 100-day, and 200-day MAs, raising the risk of a 25-40% decline if the super trend/50-day MA is breached, though strong Q4 earnings could reverse the trajectory.
Narratives
LCID is down 5.24% on heavy algorithmic selling and short-seller pressure with 3.31M new short shares added — no news to justify the move. The stock has broken below the Alma, 100-day, and 200-day MAs, leaving only the super trend and 50-day MA (~$2.58) as the last technical defense. Historically, a break below the 50-day MA leads to a 25-40% decline. The speaker's only bull case is that Peter Raw delivers exceptional Q4 guidance with 25K+ production target and significant Gravity mix, which could deter shorts from continuing their assault.
Key Arguments
- 3.31M shorts added with no news — pure algorithmic and short-driven selloff
- Stock already broke Alma, 100-day, and 200-day MAs — only 50-day MA remains as support
- Historical pattern: 50-day MA break leads to 25-40% decline (e.g., Sept 2024: $3.50 to $2.47)
- EV sector stuck in limbo on $7,500 credit uncertainty under Trump