Carvana attacks current resistance - Analysis - 08-08-2022

Carvana's stock (CVNA) rose in the last session even after reporting losses larger than expected, however sales rose to 117,564 units in the second quarter from 105,185 used cars in the previous quarter, with the stock rallying 40.07%, or 13.44 points, settling at 46.98, with trading volumes surpassing 46.7 million shares, above 10-day averages of 13 million shares. 

The stock is boosted by support from the 50-day SMA, amid the dominance of the upward correctional short-term wave, tackling the resistance of 46.35, countered by negative signals from the RSI after reaching overbought levels. 

Therefore we expect more gains for the stock, targeting the resistance of 70.00, provided the resistance of 46.35 was breached. 

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Expected trend for today: Bullish