CCIV Stock Is Offering an Advantage to Bullish Investors – InvestorPlace

Some are issuing warnings and others are simply letting bearish positions against Churchill Capital Corp (NYSE:CCIV) do their bidding. But bullish investors appear to have the upper hand in CCIV stock and one worth buying into today.

The Lucid Motors (CCIV) logo is displayed in front of an ad for the Air sedan.

Source: T. Schneider /

Let’s examine what’s happening off and on the price chart, then offer a risk-adjusted determination aligned with those findings.

CCIV stock. Out-of-the-gate in 2021 Churchill Capital became the “it” stock for momentum investors latching onto the next big thing in green technology. In early January and in just over a month’s time, shares soared nearly 550%. Driving the confident rally, the blank-check outfit announced a merger with luxury EV play Lucid Motors EV.

The $10 SPAC had found a mate. And a great one at that.

CCIV Stock and the Deal

Amid a flood of EV stocks brought to market in 2020 vis-à-vis SPACs, Churchill’s Lucid Motors presented the chance to bet on industry pedigree with Tesla’s (NASDAQ:TSLA) former chief engineer Peter Rawlinson at the helm.

Also a positive, CCIV wouldn’t keep investors waiting. Lucid’s Air and Dream Edition EVs were set to debut in late spring and well-ahead of competition such as fellow SPAC Fisker (NYSE:FSR).

What could possibly go wrong, right? A great deal as many CCIV stock investors soon found out.

A broader systematic rotation out of higher and no-multiple growth stocks beginning in mid-February certainly worked against CCIV. Then in tow, Churchill’s announced the terms of its Lucid deal. And given poor market sentiment at the time, the richly priced agreement became a much larger point of objection for investors.

Challenging conditions and issues continued to grow for Churchill’s Lucid Motors as well.

Over the ensuing couple months, word that Lucid’s Dream Edition would be pushed out into 2021’s second half, a semiconductor chip shortage hanging over automakers and further production schedule backtracking all conspired against CCIV stock. And by early May shares of Churchill had tumbled 73% to a low of $17.25.

But Wait

Then and just when it may have seemed terminal, CCIV turned the corner.

Dismal market sentiment and prior investor fears began to lift by mid-May and a rally emerged. And in more recent days Churchill persisted in improving its position.

This past week, CCIV updated Wall Street stating it topped 10,000 paid reservations for its Lucid Air. Additionally, the company opened a flagship studio in NYC and showed off its EV to much praise. Lucid also announced its fast-tracking production plans and accelerating the use of about $350 million directed toward manufacturing capacity to keep up with strong demand for its EVs.

Churchill Capital also announced the Securities and Exchange Commission approved its merger proxy statement.

Some Bears Not Giving Up

Despite the wins, good news and generally stronger investing environment for CCIV, some bears aren’t giving up the ghost yet. Shares of Churchill maintain short interest north of 17% and possibly as high as 22%, according to Yahoo Finance. Either way, it’s well-above average.

Arguably, a great deal of CCIV’s bearish positioning could have something to do with today’s implied $38 billion valuation, as InvestorPlace’s Joanna Makris notes.

Churchill shares are steep relative to diversified auto giants Ford Motor (NYSE:F) and General Motors (NYSE:GM). CCIV stock is also rich compared to Tesla. TSLA stock maintained a similar valuation in 2017. And mind you, that was after one or more of your neighbors, if not yourself, already had a Tesla parked in the driveway.

CCIV Stock Weekly Price Chart

Churchill Capital (CCIV) emerging uptrend on weekly

Source: Charts by TradingView

The good news for investors wanting to buy into Lucid Motors is you don’t have to expose yourself to larger existential threats. That is, if you permit yourself to rely on the CCIV stock price chart, but ultimately allow Churchill’s options market to do your bidding.

Technically, shares of CCIV have successfully broken above a prior downtrend lines since bottoming in early May. Today and as the weekly chart reveals, shares are following through on a pair of successful testing candlesticks, which challenged an emerging uptrend line, as well as prior trend resistance.

Net, net the evidence is building Churchill’s bearish short-interest is on the wrong side of the trade.

Classically, the next test for CCIV stock is for shares to rally above its June high and form a higher-low if we’re to see a textbook uptrend pattern. But it doesn’t have to play out like that. Charts and patterns are subject to revision. And even when we get the direction correct, that path there doesn’t always look like the one we imagined.

The Trade

One way to take advantage of that uncertain volatility without fear of playing a CCIV stock position too tight to the vest is with a dynamically-adjusted, limited and reduced risk collar strategy. Today, and given what we’re seeing off and on the price chart and appreciating the unknowns as well, the October $30/$45 collar combination is a favored starting point.

On the date of publication, Chris Tyler holds (either directly or indirectly) positions in Ford Motors (F) and its derivatives. The opinions expressed in this article are those of the writer, subject to the Publishing Guidelines.

Chris Tyler is a former floor-based, derivatives market maker on the American and Pacific exchanges. For additional market insights and related musings, follow Chris on Twitter @Options_CAT and StockTwits.

Source of this news:

Related posts:

Maryland’s enrollment in Obamacare to our lives 12% during coronavirus pandemic emergency - Baltimor...
This state’s health emergency, in regards to 54, 402 people enrolled in federally subsidized private blueprint offered by three private insurance companies, while 20, 460 signed up without financ...
New Bug Could Let Attackers Hijack Zimbra Server by Sending Malicious Email - The Hacker News
Cybersecurity researchers have discovered multiple security vulnerabilities in Zimbra email collaboration software that could be potentially exploited to compromise email accounts by sending a malici...
Fix Outlook crashes when creating a new profile - TheWindowsClub
Some Windows users that have Microsoft 365 or Microsoft Office installed on their Windows 11 or Windows 10 computer may encounter the issue whereby Outlook crashes when creating a new profile. If you...
Deposit - proxy utility by just STASH NETWORKS LIMITED instant AppAdvice
Put is a rule-based proxy program with multiple proxy method support. tutorial Handle TCP / UDP / ICMP traffic and simply forward to any proxy - Native UI dash to display HTTP / HTTPS / TCP re...
The safety Implications of Application Progress | eWEEK - eWeek
Particulars Point No . 4: Associations don’t feel confident of the security. A little less than part of surveyed organizations said these are definately very or extremely proficient about the...
MT Proxy and Centroid Solutions Become Strategic Partners - Finance Magnates
Two of the forex trading technology providers, MT Proxy and Centroid Solutions, have announced a global strategic partnership to enhance their offerings to the industry.MT Proxy provides custom-buil...
Finish off Self-Hosted Bitwarden for Raspberry Pi | by mister. smashy | CodeX | Nov, 2021 - In the m...
Self organizing a modern password manager with MFA, backups, DDNS, per certificate, and enhanced protection . Password managers are a wonderful idea. I’ve used a trustworthy ...
Legends Battle is Launching for all of 3D NFT Multiverse Search engines Game - GlobeNewswire
Wroclaw, Mainly, Jan. 10, 2022 (GLOBE NEWSWIRE) -- (via Blockchain Wire ) PVE-based, you can gain levels your character with your crypto friends and drop bits, spells, and NFT Legendsbattle items ...
Gift Card Gang Extracts Cash From 100k Inboxes Daily – Krebs on Security - Krebs on Security
Some of the most successful and lucrative online scams employ a “low-and-slow” approach — avoiding detection or interference from researchers and law enforcement agencies by stealing small bits of ca...
Develop into 424B3 NRX Pharmaceuticals, you would like to StreetInsider. com
Filed Pursuant of Rule 424(b)(3) Enrollment No . 333-257438 PROSPECTUS NRX Pharmaceuticals, Inc. sekiz, 757, 258 Shares on Common Stock three or, 586, 250 Shares with Common Sto...
Windows 11 Build 22000.120 Drops for Both Dev & Beta Channels with a Massive List of Fixes - Wcc...
Microsoft's Windows development team has today released Windows 11 Insider Preview Build 22000.120 for Insiders in both the Dev Channel and the Beta Channel. Today's build brings a handful of improv...
What's new with the Settings app on Windows 11 - Windows Central
Source: Windows Central Windows 11 also comes with a wholly redesigned Settings app that accounts for a large percentage of the visual changes in this new OS. The new application features an updated ...
Why Telegram became the go-to app for Ukrainians - despite being rife with Russian disinformation - ...
For weeks, Russia's military assault on Ukraine has been complemented by full-fledged information warfare. The Kremlin has propagandised Russian state media, and is trying to control the narrative on...
Genuine Proxy Phantom ATO Deception Ring Haunts eCommerce Company - Threatpost
The administrator on your personal data will be Threatpost, Inc., 500 Unicorn School yard, Woburn, MA 01801. Detailed information on the processing of private data can be found in the privacy p...
What Proxy Setting Should I Use? Top 3 Use Cases - FinSMEs
Configuring a proxy is an essential step for internet security and privacy. Though some advocate a ‘one size fits all approach to proxy settings, tailoring your proxy to your specific use case can ma...
CTV Fraud Made Headlines Again, But It Shouldn’t Have - Forbes
Yesterday, the Wall Street Journal covered a “New Ad Fraud Scheme” in CTV called StreamScam. Dozens of other outlets covered the same story with the headline “Largest CTV Ad Fraud Exposed.” And the o...
Why Your Company Should use Proxy Servers? - Foreign Policy 2018
If you are just an average Joe, then you probably don’t have a full understanding of the purpose and use of proxy servers. Most people heard about using a proxy for unblocking the US library on ...
What's the difference between a proxy server and a VPN? - Windows Central
When it comes to internet privacy and security, two terms are commonly tossed around: VPN and proxy. If you're wondering what exactly these words mean, or which one you need, if any, you aren't alon...

IP Rotating Proxy Onsale


First month free with coupon code FREE30