Uber Stock Jumps 4% In Two Day Rally After 5% Plunge

Uber Technologies (UBER) rose 4.02% to $98.51 in the most recent session, marking its second consecutive gain with a cumulative 5.98% advance over the two-day period. This rebound follows a sharp decline on September 17 (-4.99%), suggesting potential recovery momentum.
Candlestick Theory
A bullish engulfing pattern materialized on September 19, as the day’s price action ($94.90–$98.83) fully eclipsed the prior session’s range ($93.21–$95.05), signaling reversal potential after the September 17 sell-off. Key resistance is evident near $99.70 (September 16 high), while $92.12 (September 17 low) serves as critical support. A sustained break above $99.70 could trigger further upside, though the $98.80–$99.00 zone remains an immediate hurdle.
Moving Average Theory
The 50-day, 100-day, and 200-day moving averages exhibit a bullish configuration, with the 50-day positioned above both longer-term averages. Current trading above all three MAs reinforces the dominant uptrend. The convergence of these averages near $90–$92 provides robust dynamic support. Continued trading above the 50-day MA ($94–$95 range) sustains the short-term bullish bias.
MACD & KDJ Indicators
MACD shows a potential bullish crossover emerging after the September 19 rally, with the histogram flattening near the zero line. This suggests waning downward momentum. KDJ readings have rebounded sharply from oversold territory (below 30 on September 17), with the %K line crossing above %D, indicating strengthening bullish momentum. While not yet overbought, sustained gains could push KDJ into overbought zones (above 80), warranting vigilance for near-term exhaustion.
Bollinger Bands
Volatility expanded during the September 17 decline, as evidenced by band widening. The subsequent recovery saw price surge from the lower band toward the upper band ($98.50–$99.00). Current proximity to the upper band implies potential short-term resistance. A consolidation phase may follow unless volume-supported momentum breaches this barrier. Band squeeze resolution was decidedly bullish.
Volume-Price Relationship
The September 17 sell-off occurred on elevated volume (44.1M shares), validating downside conviction. Crucially, the two-day rebound registered above-average volume (38.7M and 23.1M shares), confirming bullish participation. This volume structure supports trend sustainability. Divergence remains absent, with volume consistently affirming price direction.
Relative Strength Index (RSI)
The 14-day RSI currently oscillates near 62, rising from oversold conditions (<40) post-September 17 but remaining below overbought thresholds. This positioning allows room for further upside before cautionary overbought (>70) signals emerge. RSI divergence is not observed, with the indicator aligning with recent price recovery.
Fibonacci Retracement
Applying Fibonacci levels to the September 16 peak ($99.70) and September 17 trough ($92.12), the 61.8% retracement ($96.80) was breached decisively during the rebound. The price now approaches the 100% retracement level ($99.70), aligning with horizontal resistance. Confluence between Fibonacci and psychological resistance at $100 creates a high-probability barrier. A confirmed breakout above $99.70 may accelerate momentum, while rejection here could retest $96.80 support.
Conclusive Synthesis
Multiple technical indicators exhibit confluence for Uber Technologies: The bullish engulfing pattern, volume-backed rebound, moving average alignment, and MACD/KDJ momentum shifts collectively suggest upside continuation potential toward $99.70–$100 resistance. However, Bollinger Band positioning and Fibonacci retracement warn of near-term resistance at these levels. No significant divergences are apparent, supporting trend cohesion. Should volume persist, a breakout above $99.70 may validate a resumption of the primary uptrend. Conversely, failure here could trigger consolidation with dynamic support near $94–$96. Probabilistically, the weight of evidence leans bullish but warrants monitoring for resistance reactions and volume confirmation.