Man, this place is just stupid. The stock is crazy, guys, i'm so pumped to talk about this today. You already know what it is. What is up, everybody welcome to trace trades.

We have technical analysis and different stocks in the stock market, as well as potential buy holders sell opinions on these given stocks. I like purpose by saying that i'm not a financial advisor nor expert so take what i say with a grain of salt. Let's get into the video today my friends we're gon na be doing the very first uh analysis on ticker symbol. Cc iv, churchill, capital corp, the company that is rumored to be merging with lucid motors.

Oh my gosh, to be completely transparent. I do not have a position in this stock as of right now in either of my brokerage accounts. I am currently sitting in sensonics, agtc and uamy, and amc in my weibull account, but i'll tell you what there is nothing that does not look good about this stock, and this is gon na, be something to add to a core position for a couple different reasons. We're gon na go over in this video, so uh we're gon na go with the fundamentals of the company.

The why? Why should you care? How is this going to be a competitor against other electric vehicles in the market right and then some recent news catalysts things that are going to drive the stock price things you can expect that are going to influence, how the stock ends up playing out and then The meat potatoes, which is the chart, set up we're gon na look at the one month chart as well as the one day one minute chart to give both a macroscopic and microscopic perspective of the overall price action. I've got a couple different indicators build up, so they are sized down here on the bottom. This is the relative strength index. Anything over 70 is overbought.

Anything under 30 is oversold. This is an idea of both bullish and bearish momentum. To give you an idea of when you can get the best possible entry point into a stock, and then i've got the 200 ema, which is the purple trend line and the 15 day ma, which is this blue trend line? The 200 dma is the exponential moving average. This is a price action based evaluation trend line over a 200 day moving period, which gives us a macroscopic perspective of the overall price action, and then they have the 15 day m a which is a moving average.

Some brokerage accounts call this the sma, the simple moving average. They are one in the same. This is a price action based valuation trend line over a 15 day moving period, which gives us a microscopic perspective of overall price action. We use these side by side, so we can predict upcoming, break outs or breakdowns, so they can get the best possible entry points and exits on a stock.

I personally believe that cciv is going to end up being a long-term stock. I think they're going to be a big competitor for companies such as tesla, neo, xpev lee etc. So we've got quite a bit to talk about here. We're gon na go over entry points.

We're gon na give a fibonacci retracement, show the signs of uh, saying uh, show sync what the hell show signs of strength or weakness in the stock. The whole nine yards let's get into the video. So what is this company? What is cciv well? This is a holding company right, so we're just gon na read this off. Formerly churchill capital corporation four is a blank check company.

The companies formed for the purpose of affecting a merger share, exchange asset acquisition, share, purchase, reorganization or similar business combination with one or more businesses the company's not engaged in any business operations, and it has generated no revenues. So if you look at their financial situation, they do not have any financial information. This company is solely uh created for the purpose of affecting a spec, which is a special purposes, acquisition uh. So that's what we're gon na be looking at here.

The rumor is that cciv is gon na be merging with lucid. We've got quite a few things that do point the direction of the possibility here, and that is absolutely beautiful. So i've got a couple different things pulled up here that i do want to show you guys. This is churchill capitals website, not a lot happening here, but we are going to take a look at the investors, our resources, so we're going to take a look at the events, no recent events that we can look at right now, but nonetheless, essentially what these guys Are trying to do as i've mentioned is for that spec or that merger with lucid motors, and i do have lucid motors pulled up here and i think there's a pretty interesting thing that i want to show you between lucid motors and tesla, and why i think Lucy could be a very good competitor if not actually a better electric vehicle than tesla itself.

So this is lucid. They are a car company they're like electric vehicle company, and i would argue, a luxury electric vehicle company, so they've got a couple different vehicles. This is the lucid air which is expecting delivery in spring of 2021, which would be absolutely awesome. This is coming out at 69, 900 us dollars.

The projected range is 406 miles for the air. We've got the lucid air, which is a 517 mile range, which is actually pretty solid for an electric vehicle. That's the big thing that that's how it takes a hit. You know on these electric vehicles.

Is they can't drive very far, but 517 miles is quite a waze at 69, 900 and even compared to this vehicle right here right. This is the same price, so i think the big difference here is going to be the the horse. Honestly, i'm really surprised at why this is costing the exact same, but nonetheless you guys get the picture. They've got the lucid air.

They've got the air uh we've got set the dream ahead. Global reveal show which is uh. If you want to stay updated, you can click on that. It is on their website, but check this out the world's most advanced ev technology.

So we're going to take a look at this and just discover: what's going on, so we've got race proven performance. It's a very fast car, as you saw up there, it had 1080 horsepower, which is absolutely solid. We built the lucida to achieve benchmark setting range without compromising any of the high performance that makes it an extraordinary driver's car. Our world-class battery technology has been proven time and again in competition in the world's leading electric motorsport racing championship via our atvia technology unit, and the lucid air has established itself as a world-class performer on the highway and at the track.

45 minutes is all that it takes to charge this vehicle, which is absolutely solid, and then we can see here. You know the overall uh technology. If we want to take a look at that as well, you can check this out on the website. Uh, lucid speed team tackles the track, so engineers aren't just talented behind the computer screens and in workshops they also excel putting their hard work into action.

Working together. The test performance envelope of the lucid air, lucid speed team tackles the toughest testing locations in the world, including the sweeping turns at high speeds of weathertech raceway laguna seca in california. So that's pretty solid uh, it's a very fast car, very sleek car looks very aesthetic. It honestly i've got nothing bad to say about how the lucid air itself looks.

So if we come back here and scroll past down the the technology, we've got their ultra fast 900 volt charging, as i did mention it charges in about 45 minutes, which is you know longer than a gasoline fuel right, so you'd have to take a longer break, But with with joe biden in office, we do know that he does want to have x amount of charging stations across the us by the end of his presidency. Right he's a very pro clean energy presidential uh. You know, president, i would say so that that's a big deal right, that's gon na affect how this ends up playing out. Uh your digital and studio experience.

We're not gon na get into that too much, but it's an advanced uh, ev car. It's absolutely awesome - and this is gon na - be the way that the world ends up going honestly. This might take 10 to 15 years, maybe even 20 years to see play out, but you are going to see a shift very, very slowly over to electric vehicles. They take nowhere near as much maintenance.

I mean, i think, about a tesla. I saw this tweet the other day and it was talking about a tesla and saying hey. I've had this car for 36 000 miles and all that i paid in maintenance is 80 bucks right, excluding like tire rotations and stuff, but you don't have to get oil changes. You don't have to buy gas right, so you're just charging the vehicle.

They are very smooth and economic cars, which is absolutely beautiful and they look sleek as it gets look at this look at this car. My friends, that is, that is a luxury electric vehicle. You can't even tell it's an electric vehicle to be honest with you. This is uh.

This is basically like the rolls-royce of uh electric vehicles. In my mind, i think they look almost as sleek, if not more sleek than teslas and the reason we saw the the recent crazy price action right is this right here, and i want to give you an explanation. This is posted on february 16th, 2021 cciv stock. The report that has churchill capital shares roaring today so check this out.

Cciv stock is rolling soaring higher on tuesday, following a report that the special purpose acquisition company is nearing a deal to take lucid motors public. According to this report, churchill capital has set it up. A new round of funding that would support this back merger with lucid motors, it looks like it's hoping to raise as much as 1.5 billion dollars via private investment in public equity. It's also worth noting that churchill capital already has 2 billion on hand from his initial public, offering in july of 2020..

If the rumors are true, it looks like the deal will value the combined company at 12 billion dollars. Now i want to take a quick peek at how much tesla is worth we're gon na check out tesla stock here, really quick and just do a little comparison. This is trading at 796 bucks as of right now so look at their market cap and just see how much this uh this company is trading at, and that is 764 billion dollars. So if we just do a quick, quick amount of math 764 divided by 12 means uh.

This is there's some trade about 63 times higher than lucid motor just based on the overall market cap. Of course, they don't live in a vacuum. There are. There are different reasons that i mean the outstanding shares is going to be different, et cetera, et cetera, but keep that in the back of your mind right, that's it's trading at 796 dollars a share with a market cap of 764 billion dollars.

So if we were to take, you know not not just saying that this is gon na happen, but um. Let's take this. This market cap give me one second to do some math. Okay, you know what so apparently cciv already has a market cap of 13.636 billion dollars.

So i'm not i'm not sure if it's saying it's gon na increase by 12 billion dollars, in which case you would probably see the stock double. I do think if this this this merger is affected. You're gon na see this easily be a 100 company per share right. So that's going to be a big big deal.

I think it's going to be a huge, huge growth stock with a lot of potential upside. I missed out on the initial tesla run right and i think you're going to be missing out on another initial tesla run with cciv right, i'm actually a little bit nervous for tesla because they were leaders solely because of the reason. Of course, there's other good things that are happening there, but they were big leaders because they got ahead of the game right and now it's now that they've got competitors such as ccib, neil uh, expev, lee liado, maybe solo, the solo's, obviously not as cool as a Tesla but cciv is a great competitor and with them stepping into the game, man, things are really gon na change. You're gon na have a lot of options, and i i'm very excited for what this is gon na look like here.

Another thing i wan na point out to you is this: a comparison between cciv and tesla now check this out. This was posted back in january of 2021, but it is still extremely relevant. Now check this out to start, the two companies have a lot in common and lucid is already positioning itself as a tesla killer like tesla. It is looking to lead in the luxury passenger ev market and its air command's competitive specifications.

Ceo peter rollinson actually got his reputation as the model s engineer for tesla and has been described as a similarly charismatic and quirky leader. Unlike musk hannah elott wrote for bloomberg that rollinson is an artistic sort who once considered pursuing art school. However, there are two differences that investors should pay attention to the first, and perhaps the most obvious difference between the companies is that tesla is an established, industry-leading automaker that has also put legacy brands like ford and general motors to shame. It has multiple models available in an international footprint.

Lucid motors, on the other hand, is just getting off the ground planning to start deliveries of its flagship air later this year. So lucid motors is not, quite you know, a profitable company, yet obviously tesla is very well established. This is a play that might take some time to develop, but so was tesla keep that in the back of your mind, right tesla. If you look back on this uh, what would have been i'm not sure how many years it took for them to be trading at you know as high as they are right now? Why did that pull up what the heck, so i'm not sure how long it took tesla to establish into the monster that it is today.

But if we look at five year chart right, the growth is insane. They went from 33 bucks up to 900 at its peak right. If we just look at 2019, it went from 48 bucks to 900.. If you invested in this in 2019, you would be up so much freaking money, so it is very, very realistic and possible that lucid motors can do the exact same thing right.

Of course, they are just focusing on the the vehicles in tesla you're investing in a lot more than just its electric vehicles, but nonetheless, i do think it's gon na be a triple digit stock, easily uh going into that hundred dollar mark. I would say immediately after the merger is affected, and then it has a lot of potential for growth after that as well. The second difference is what has cc iv stock on the move: rawlinson benefits from its exposure to life at tesla. He knows, what's a tweak to beat the giant as joanne muller wrote today for axios.

That difference is that lucid motors has a methodical manufacturing plan. Lucid has a factory underway in casa grande arizona that will one day that one day will be capable of producing 400 000 cars instead of ramping into that overnight. The company is embracing, just-in-time supply chains. This means it will gradually build capacity as capital allows, starting with 7 000 cars in 2021.

Bottom line. News and motors has taken this manufacturing approach to avoid what some have dubbed a production. Uh hell is tesla at tesla that does not guarantee lucid motors will have better or even equal success in tesla, however, for those trying to get in on the ground floor before a lucid motor spack merger, it is another justification for the hype for investors then continue To proceed with caution, there's a lot to like about lucid motors, but there are also plenty of risks, and what i want to talk about in terms of risks is this: if the merger is not affected, the floor is ten dollars and if you end up buying Into this right now at 55, that is a lot of potential downside, so i would recommend having a training stop-loss set for this by the off chance. I don't think it's likely.

I don't think it's likely at all. I do think that merger is going to come to fruition, but if it doesn't cciv will crash to the ground. So that is the risk here. The risk is that these this, this merger is not affected right.

The spec play they end up going with some other company. This is all just rumors. This is all just bs. I don't think that's gon na be the case.

I find it to be a very slim chance, but that is a risk that you do need to keep in the back of your mind, so that is the the fundamentals of the company. That's what the potential for growth is. I think this could be an upcoming next tesla. I don't think it's gon na be as big as tesla right, but they're gon na be a big competitor, so a lot of potential for growth.

I think this is a good long-term hold stock, especially if the merger does come to fruition, and that is what we're looking at there in terms of the chart setup right. What are we looking at? Well, we are a nice clean, ascending level of support right now. We always look for these three touch points. We've got that one two three, i don't quite know if it's gon na come back down to this previous level of support, but nonetheless we do have this level of support right here, which i do find more realistic.

As a level that it might come back down to in the future, if you're looking for an entry point or to improve your position, you know dollar cost average up or down depending on if you bought on the peak right here at 55 dollars. So i do think it's possible that you see maybe not today but tomorrow, a touch point at around 44.45. So far here in the pre-market, it is a little bit red right. It did sell off just a little bit and i don't feel comfortable saying that it's found to bottom yet, but this could be the beginning of a bullish flag formation.

So we've got this insane pole right here, which looks very clean right and then the beginning of what could be a little bit of a squeeze down in price action. So we've got this right here, right, squeeze it down in price action and so far this is what we have available this level of support. So i would say sometimes today it's either going to break below this, this level of support or above this descending level of resistance, more likely it's gon na, be above this decent level of resistance. Of course, news catalyst is gon.

Na help drive this a little bit. That's what drove the price action and the volume here today and honestly, i i think a pullback is more likely uh. I go back and forth. This is very overbought.

It's on 74 on the rsi, the entire second half of the day. Yesterday, it was over 70 touched up by 86 on the rsi, so there is potential that pulls back and i think that's healthy. I do want to see that pullback at least to some extent, but if we look at this historically speaking my friends, the pullbacks have not been that harsh they're, very nice, healthy pullbacks. This is a 50 retracement, pretty much to a t.

So we get that same exact retracement. We just do a drop right here right. What is that going to look like that? Retracement would end up coming back down to about 45.90 or so so i do find that to be the most likely pullback zone. I don't think, like i said earlier, that it is going to pull back to this level of ascending support today.

I do think at the very most it's going to pull back to that 46.09 range, which would be a solid entry point into the stock. If you are looking to get into this the potential for growth with cciv and lucid motors, if they, if they really end up doing that merger, it ends up happening, there would be going to be a competitor to tesla. I do think it's going to be a 100 stock, pretty much immediately after that merger is announced and then down the road years down the road. Maybe one year two years, i could very easily see it doubling up to 200 300 even 400, which sounds insane, but it is what it is guys.

The the electric vehicle sector is not going anywhere anytime soon and that's what we're looking at right here. So potential entry points couple different scenarios. If it breaks this level of support. I do think the next level they're gon na be watching for is forty dollars, forty six dollars and nine cents today, if it doesn't, you could play this as a as a momentum plate.

You could buy in when it breaks this descending level of resistance and buy in at what would it be around 51 and 44 cents and ride the next wave up for that re-test of 55. You see a break at 55 bucks. Then you won you you're sitting totally fine and you've got nothing to sweat about in the least bit. If neither of these happens, it ends up.

You know just kind of trading sideways into tomorrow. I do think it's possible that you see a test of this ascending level of support at about 43.98 cents. All that i want to caution you guys on is this is extremely overbought and you might have to hold for a couple of weeks until you go green. If you buy in right now in terms of volume, it's very nice consistent volume, a lot of green volume.

I do think this is an investor stock and not a trader stock, as should be very obvious at this point, as we do have nice consistent volume coming into this pretty much all the time, which is exactly what you're looking for. So that looks very good. Uh. There's there's absolutely nothing that i don't like about this play.

My friends, it looks it looks great. There is risk involved right if the merger does not happen, you're going to get smacked a little bit, but that is what we're looking at right now in terms of the price action from yesterday. I'm going to leave that if you want to check out the the stuff that i did drop just to remind the video and pause it and check it out, but we had this insane move right here right. We had this little bump right here in volume and then a huge push volatility is driven by volume.

Volume drives volatility, volatility's gon na drive those higher price valuations, hit 55 bucks traded sideways for the rest of the trading day. With this level of support right here and from there, it really didn't sell off much it just just consolidated. This to me is a bullish flag formation, squeezing down on that price action right. So we've just got double confirmation here that this is squeezing down.

15Ma is trading just barely underneath the 200ma right now, but i'm not concerned about that because they are hogging the lines just like this. I wouldn't even call this bearish territory, especially considering macroscopically speaking, there's the most nasty filthy gap between these two lines. These two indicators there's nothing that i don't like about this setup right now, and that is what i have for the video here today. So if you enjoyed it, please drop a like.

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Take it easy, my friends and peace.