Rivian Share Price Forecast: Is the Crisis Over?

Rivian’s stock price is trading higher in premarket trading, pointing to a higher open when the New York Stock Exchange opens Tuesday. On Monday, Rivian stock price gained 1.8%, ending an 8-day losing streak and postponing any further predictions for Rivian stock price.

Rivian had resumed the slide on March 30, as markets reacted to its 10-K SEC filing released on March 31, which highlighted rising industrial metal prices and supply chain disruptions as headwinds to its activity. The report specifically says that “significant increases” in the prices of lithium, nickel and cobalt, all components of electric vehicles, have impacted its business and operations.

Rivian Automotive Inc has also set May 11 as the date for its earnings call and the release of its quarterly results. First quarter 2022 results will be announced to the market after hours. The report can provide more information on the impact of the high cost of industrial metals on its business and whether there will be any impact on its existing forward guidance.

Rivian stock price prediction

The completion of the 5th downward impulse wave marks the end of the move measured from the bearish flag seen on the daily chart. The bounce seen on Monday requires follow-up action from the bulls to send price action towards the resistance at 53.34.

If this move materializes, additional momentum would be needed to break through the barrier at 53.34, targeting the resistance at 70.40 (1/17 Feb highs). A march towards 88.64 (12th Jan high) looks assured if the bulls break through the 70.40 barrier. This motion would complete the “c” wave component.

Conversely, a break of the 5th impulse wave low at the 35.10 support level opens the door for further guidance on Rivian’s stock price as new lows would point to the extension at 100% Fibonacci of the price swing from January 4 to January 27 at 9:57 p.m. Below this level, the 127.2% Fibonacci extension comes in at 7.17.

Rivian: Daily Chart

Follow Eno on Twitter.

Karen J. Nelson