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Shares in Uber Technologies (UBER) lost ground Monday but were still near record highs after investors saw little threat to rideshare companies from Tesla's (TSLA) highly anticipated robotaxi unveiling last week.

Tesla revealed its long-awaited Cybercab autonomous vehicle and a larger Robovan at an event last Thursday evening. Analysts pointed out that the electric vehicle maker provided little in the way of details, with no specific business model to indicate how the new lineup of autonomous vehicles would eventually compete with companies such as Uber and Lyft (LYFT).

Since the start of the year, Uber shares have climbed nearly 40%, in part from its own foray into robotaxis. In recent months, the company has announced partnerships with General Motors' (GM) self-driving car company Cruise, Alphabet’s (GOOGL) autonomous vehicle business Waymo, and startup Wayve.

Uber stock was down 1.6% at $85 in mid-afternoon trading Monday. The stock hit an all-time high of $87 on Friday and finished the session 11% higher.

Below, we take a look at the technicals on Uber’s chart and identify important price levels worth watching out for.

Uber shares carved out an inverse head and shoulders pattern on the chart between May and September, with the stock’s price decisively breaking out above the pattern on Friday. 

Importantly, the move occurred on the highest trading volume since early May, signaling buying activity by larger market participants. 

Moreover, the relative strength index (RSI) confirms bullish price momentum with a reading above 70, but also cautions overbought conditions that open the door to short-term profit taking.

Let’s take a look at a chart-based upside price target and locate three important support levels likely to attract attention.

We can project a price target using the measuring principle, helping us determine an area on the chart where investors may decide to lock in profits.

To do this, we calculate the distance from the inverse head and shoulders head to neckline and add that amount to the breakout point.

For instance, we add $19 to $74, which forecasts a bullish target of $93, representing upside of around 8% from Friday’s close.

During an initial pullback, investors should keep a close eye on the $81 level, where the shares could garner support near three prior peaks that formed on the chart from February to March, an area that also closely aligns with the low price of Friday’s breakaway gap.

A failure to hold this level could see the stock decline to around $74, a location on the chart where investors who prefer not to chase breakouts may look for buying opportunities near the inverse head and shoulders pattern’s neckline.

Finally, further selling could lead a decline to the $68 area, were the shares may encounter support around a horizontal line connecting a range of comparable trading levels on the chart between May and September.

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Bitcoin (BTCUSD) rose Monday, lifting shares of Coinbase Global (COIN) and other stocks linked to the cryptocurrency. 

The price of bitcoin was recently near $66,000, rising some 6% over the past 24 hours according to CoinDesk data. That helped shares of companies like crypto exchange Coinbase, major bitcoin holder MicroStrategy (MSTR) and crypto mining company Marathon Digital (MARA). Coinbase stock was recently up about 9%.

The moves came as broader markets, including the tech-focused Nasdaq Composite, rose to start the week. They have bitcoin trading around recent highs, though a bit below their highest points of 2024.

They also follow a policy statement from Vice President Kamala Harris, the Democratic presidential nominee, citing support for “a regulatory framework for cryptocurrency and other digital assets.” The statement, along with previous comments from former President Donald Trump, her Republican opponent, could signal Washington may move toward a more crypto-friendly outlook regardless of who wins the election. Trump in recent days has used social media to promote the coming sale of a crypto token.

Coinbase is set to report its latest quarterly results at the end of the month.

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Bausch + Lomb Corporation (BLCO) shares popped Monday morning following reports Blackstone (BX) and TPG (TPG) are considering teaming up to buy the eyecare company.

A bid from Blackstone and TPG could value the company between $13 billion and $14 billion, or as much as $25 per share, the reported. Bausch + Lomb declined to comment on the report.

The potential joint bid comes after a report last month that Bausch + Lomb was working with Goldman Sachs (GS) on a deal that would see it separated from its severely indebted parent Bausch Health Cos. (BHC). Bausch + Lomb was spun off from Bausch Health in 2022.

Formal bids for the eyecare maker are expected to come by the end of the month.

Shares of Bausch + Lomb jumped more than 7% in early trading Monday to $20.95, and have gained about 23% since the start of the year.

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Boeing (BA) shares fell in early trading Monday after the troubled plane maker announced a slew of cost-cutting measures and billions of dollars of upcoming charges, among the most radical measures by CEO Kelly Ortberg, who took the reins in August. 

Ortberg said in a memo to employees late Friday that the company is cutting around 10% of its workforce or 17,000 people "over the coming months," and postponing the launch of its first 777x jetliner.

“Our business is in a difficult position, and it is hard to overstate the challenges we face together,” Ortberg said. “We need to be clear-eyed about the work we face and realistic about the time it will take to achieve key milestones.” 

Boeing also said it expects to take a total of $5 billion in pre-tax earnings charges at its commercial airplanes and defense divisions in the third quarter. The company said it may report a loss of around $10 per share for the period.

The plane maker, which has faced a number of challenges since a door plug detached during an Alaska Airlines flight in January, was hit with a downgrade warning on its debt by ratings agency S&P Global last week after it withdrew its contract offer to its striking machinists.

Ortberg said Friday that with the planned layoffs, the plane maker wouldn't "proceed with the next cycle of furloughs." Boeing last month temporarily furloughed employees to preserve cash as the strike hit its business.

In a note Monday morning, UBS analysts lowered their price target for Boeing stock to $215 from $220 per share to reflect the lower cash flow in Boeing's 2027 fiscal year from the charges and the delayed 777x jefliner. Still, UBS maintained its "buy" rating.

"We believe cost rightsizing and a narrower focus are necessary steps, but highlight the long road to recovery," UBS analysts wrote. "A workforce reduction makes sense, with headcount 10% above 2018 while revenue is 30% below."

Boeing shares, which fell close to 3% Monday morning to $147.41, are down more than 43% since the start of the year.

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Shares of SoFi Technologies (SOFI) rose Monday morning after the digital financial services company announced a $2 billion deal with Fortress Capital to grow its personal loans business. 

CEO Anthony Noto in a joint statement said the business, in which it refers pre-qualified borrowers to loan origination partners and originates loans for other companies, can help SoFI “diversify toward less capital-intensive and more fee-based sources of revenue.”

Fortress said that SoFi’s personal loans platform creates a “compelling investment opportunity" for its funds.

SoFi's stock price was up over 8% in morning trading, with the shares in recent months moving off August lows back toward breakeven for the year. 

The company in July said second-quarter lending services revenue rose 3% year-over-year to about $340 million, a bit more than half of SoFi’s total revenue for the quarter. Third-quarter results are due later this month.

"We're at the point now where we've had great success in our 'ending product," Noto said at a Goldman Sachs conference in September, a transcript of which was made available by Alpha Sense. "It's very profitable. It continues to grow very nicely. It has big opportunity to benefit from low rate environments."

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Source: Harvard Health Publishing