High volatility in Arrival stock price on Friday which ended trading at $0.635

The Arrival stock price gained 17.52% on the last trading day (Friday, 13th Jan 2023), rising from $0.540 to $0.635. It has now gained 6 days in a row. It is not often that stocks manage to gain so many days in a row, and falls for a day or two should be expected. During the last trading day the stock fluctuated 56.67% from a day low at $0.600 to a day high of $0.94. The price has risen in 8 of the last 10 days and is up by 322.5% over the past 2 weeks. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 53 million more shares were traded than the day before. In total, 145 million shares were bought and sold for approximately $92.33 million.

The last rating was given by Cowen & Co. on Aug 15, 2022. The price target was changed from 12 to 5.5.

Given the current short-term trend, the stock is expected to fall -48.07% during the next 3 months and, with a 90% probability hold a price between $0.0238 and $0.330 at the end of this 3-month period. Do note, that if the stock price manages to stay at current levels or higher, our prediction target will start to change positively over the next few days as the conditions for the current predictions will be broken.

Mostly positive signals in the chart today. The Arrival stock holds buy signals from both short and long-term moving averages giving a positive forecast for the stock. Also, there is a general buy signal from the relation between the two signals where the short-term average is above the long-term average. On corrections down, there will be some support from the lines at $0.331 and $0.262. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Wednesday, December 28, 2022, and so far it has risen 323.07%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Volume is rising along with the price. This is considered to be a good technical signal.

On the downside, the stock finds support just below today's level from accumulated volume at $0.591 and $0.540.There is a natural risk involved when a stock is testing a support level, since if this is broken, the stock then may fall to the next support level. In this case, Arrival finds support just below today's level at $0.591. If this is broken, then the next support from accumulated volume will be at $0.540 and $0.507.

This stock may move very much during the day (volatility) and with a very large prediction interval from the Bollinger Band this stock is considered to be "very high risk". During the last day, the stock moved $0.340 between high and low, or 56.67%. For the last week, the stock has had daily average volatility of 44.71%.

The Arrival stock is overbought on RSI14 and lies in the upper part of the trend. Normally this may pose a good selling opportunity for the short-term trader, but some stocks may go long and hard while being overbought. Regardless, the high RSI together with the trend position increases the risk and higher daily movements (volatility) should be expected. A correction down in the nearby future seems very likely and it is of great importance that the stock manages to break the trend before that occurs.Since the Arrival has been rising for 6 days in a row, the risk over the next couple of days has increased. We don't expect a major reaction as the stock is in very good shape technically, and therefore hold a positive evaluation despite the very short term risk.

Arrival holds several positive signals and despite the stock being in a falling trend, we considered it to be a good choice at these current levels. We expect Arrival stock will perform very well in the next 3 months. We have upgraded our analysis conclusion for this stock since the last evaluation from a Hold/Accumulate to a Strong Buy candidate.