Ford (F) Stock Price Rises Following Trump's DecisionFord (F) Stock Price Rises Following Trump's Decision
The White House announced on Wednesday that automakers will receive a one-month exemption from tariffs on imports from Mexico and Canada for vehicles that comply with the free trade agreement between these two countries and the United States.
White House Press Secretary Karoline Leavitt stated that this move came in response to a request from the heads of Ford Motor, General Motors, and Stellantis. The American Automotive Policy Council expressed gratitude to President Trump in a statement and noted that companies would work with the administration to boost vehicle production in the U.S. and expand exports.
This fundamental backdrop triggered a bullish momentum in the stock market for these automakers. In particular, Ford (F) shares rose by more than 6%, while the S&P 500 (US SPX 500 mini on FXOpen) gained about 1.1%.
As shown in Ford (F) stock's price chart today, the stock has rebounded from a four-year low.
Technical Analysis of Ford (F) Stock Chart
As we noted in our February 7 analysis of Ford (F) stock, special attention should be paid to the level marked by the blue line. This area, around $9.65–$9.75, acted as support in 2023 and 2024 (indicated by arrows), preventing bears from pushing the price below the psychological threshold of $10 per share.
We also highlighted the "Trump factor" and the fact that the newly inaugurated president could drastically alter the landscape for the iconic American automaker by imposing tariffs on foreign car manufacturers. The impact of this price driver on Ford (F) shares is visible on the chart: a sharp upward reversal (marked by a curved arrow) indicates that the bears’ attempt to push the stock below its previous low has failed.
It is reasonable to assume that bulls now have the initiative. If they manage to push Ford (F) stock above the resistance of the blue line, this level could turn into future support.
Ford (F) Stock Price Forecasts
Analysts remain cautious in their assessments. They may believe that one month is too short a period to significantly alter supply chains and relocate production to the U.S., where, according to Trump's statements, no tariffs would be imposed.
According to TipRanks:
→ Only 4 out of 14 analysts recommend buying Ford (F) stock.
→ The average 12-month price forecast for Ford (F) is $10.76.
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