UBER Market Structure and Price Action
Uber is currently trading in a weakened technical structure that suggests bearish continuation unless a clear reversal is established. After forming a series of higher highs and higher lows earlier this year, the stock has transitioned into a distribution phase, confirmed by the appearance of lower highs (LH) and most recently a lower low (LL).
Price was firmly rejected from the $75.91–$76.99 resistance zone — a level which coincides with a 3-month descending trendline and a prior congestion area. That rejection, followed by today’s strong red candle, suggests sellers are in control. More critically, price has broken below the $72.20 level, which acted as the short-term bullish-bearish pivot. This confirms short-term breakdown unless a swift recovery occurs.
Key Levels and Psychological Zones
The $75.91 zone is the bullish line Uber needs to reclaim for any upside thesis to be considered. Above that, the $76.99 level represents a confluence of prior supply and descending trend resistance. A close above that level would be the first bullish signal with momentum.
On the downside, Uber has now breached the $72.20 pivot. The next level of interest is $70.19 — a near-term horizontal support. A clean breakdown below that opens the door toward the $64.05 demand zone, which aligns with the 1-year VWAP anchor and historical institutional defense levels. If bearish momentum accelerates, a flush toward $60.63 remains a realistic target, where multiple high-volume nodes and psychological buyers reside.
Momentum and Volume Profile
Momentum is deteriorating. The RSI is rolling over and now moving toward the 40 handle — clearly below the midline, indicating bearish pressure. No bullish divergence is present on RSI or MACD. Volume has increased on down days, with the most recent breakdown candle showing notable sell-side interest, confirming supply dominance.
The moving averages have flattened and are beginning to converge downward. Price is currently trading below both the 20-day and 50-day moving averages, which amplifies the bearish technical posture.
Conclusion:
Uber has lost short-term support and is showing a clear distributional character. Unless the stock reclaims $75.91 with conviction, this setup favors continued downside momentum toward $64 and $60. Aggressive long entries are not justified until price structure reestablishes itself above $76 with sustained demand. In the current context, Uber is a high-probability short candidate under $72, particularly below $70.19.
HEDGE FUND PLAYBOOK: STRATEGIC OUTLOOK
BASE CASE SCENARIO (60%) – BEARISH CONTINUATION
Trigger: Breakdown confirmed below $72.20 + rejection at $72.68
Target: $70.19 → $64.05 → extended to $60.63
Stop-Loss: Daily close above $73.50
Positioning: Tactical short / Put options targeting 2–4 week horizon
ALTERNATIVE CASE (30%) – BULLISH RECLAMATION
Trigger: Price reclaims $75.91 with volume > 10-day average
Target: $76.99 → $79.50 → $82.10
Stop-Loss: Close back below $72.20
Positioning: Swing long / Call debit spreads with tight expiry
NEUTRAL CASE (10%) – RANGE-BOUND ROTATION
Condition: Price oscillates between $70.19 – $75.91
Positioning: Mean-reversion strategies / delta-neutral hedging
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no pain, no gain
Unveiling illusions, revealing wealth
Unveiling illusions, revealing wealth
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.