High volatility in Mullen Automotive stock price on Friday which ended trading at $0.378

The Mullen Automotive stock price fell by -9.59% on the last day (Friday, 6th Jan 2023) from $0.418 to $0.378. During the last trading day the stock fluctuated 28.15% from a day low at $0.373 to a day high of $0.478. The price has risen in 7 of the last 10 days and is up by 69.54% over the past 2 weeks. Volume has increased on the last day by 68 million shares but on falling prices. This may be an early warning and the risk will be increased slightly over the next couple of days. In total, 579 million shares were bought and sold for approximately $218.65 million.

The stock lies in the middle of a very wide and falling trend in the short term and further fall within the trend is signaled.Given the current short-term trend, the stock is expected to fall -17.78% during the next 3 months and, with a 90% probability hold a price between $0.128 and $0.379 at the end of this 3-month period.

The Mullen Automotive 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 $0.316 and $0.245. A breakdown below any of these levels will issue sell signals. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. A sell signal was issued from a pivot top point on Thursday, January 05, 2023, and so far it has fallen -9.59%. Further fall is indicated until a new bottom pivot has been found. Volume rose on falling prices yesterday. This may be an early warning and the stock should be followed more closely.

On the downside, the stock finds support just below today's level from accumulated volume at $0.351 and $0.340.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, Mullen Automotive finds support just below today's level at $0.351. If this is broken, then the next support from accumulated volume will be at $0.340 and $0.314.

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 $0.105 between high and low, or 28.15%. For the last week, the stock has had daily average volatility of 22.79%.

Several short-term signals are positive, despite the stock being in a falling trend, we conclude that the current level may hold a buying opportunity as there is a fair chance for stock to perform well in the short-term. Due to some small weaknesses in the technical picture we have downgraded our analysis conclusion for this stock since the last evaluation from a Strong Buy to a Buy candidate.