On May 31, we noted, “Shares of LYFT (LYFT) have become wildly oversold on poor earnings and guidance. However, the stock is showing signs of life these days. In fact, even RSI, MACD, and Williams’ %R are starting to push higher. We should also note the last time LYFT became this technically oversold with those indicators, the stock ran from about $8.84 to $11.24.”
At the time of our note, LYFT traded around $8.85. Today, it’s up to $9.58 – and we still believe it could refill its bearish gap around $11. Longer-term, we’d like to see the stock refill its massive bearish gap around $16.