Ford Stock Hits 7-Month High After Strong Sales Numbers—Watch These Key Price Levels

Ford (F) shares jumped Tuesday after the automaker reported a big jump in U.S. sales and an increase in market share in the second quarter. 

The company said that sales rose 14.2% in the second quarter versus a year ago, as demand for pickup trucks and SUVs surged. Ford estimated that its market share grew 1.8 percentage points from the first quarter to 14.3%.

The solid numbers come amid concerns about possible declines in new car sales over the coming months as manufacturers incorporate tariff costs into vehicle prices. When Ford released its first-quarter financial results in May, the company said it would not provide full-year earnings guidance amid uncertainty about the impact of tariffs.

Ford shares have gained nearly 15% since the start of the year, handily outpacing the S&P 500’s 5% return over the same period. The stock rose 4.6% to $11.35 on Tuesday.

Below, we take a closer look at Ford’s chart and use technical analysis to point out price levels that investors will likely be watching.

Ascending Triangle Breakout

After reclaiming the 200-day moving average in mid-May, Ford shares consolidated within an ascending triangle, a chart pattern that signals a continuation of the stock’s recent uptrend.

Indeed, the price staged a decisive breakout above the pattern’s upper trendline in Tuesday’s trading session on above-average volume. Meanwhile, the relative strength index confirms bullish momentum, but remains below overbought levels, providing the shares with sufficient room for further upside.

In another win for the bulls, the 50-day MA crossed above the 200-day MA late last month to form a golden cross, a bullish chart signal that points to the beginning of a new uptrend.

Let’s identify three major areas on Ford’s chart worth watching if the shares continue tracking higher and also point out a support level to monitor during future pullbacks in the stock.

Overhead Areas Worth Watching

Further buying could see the shares test overhead resistance around $11.50. The shares may face selling pressure in this area near the May 2024 trough, which also closely aligns with a series of peaks that formed on the chart between August and November last year.

The next higher area to watch lies at $13. This location may provide resistance near minor peaks that developed on the chart last year in March and April.

A close above this area could drive a move toward $13.60. Investors who bought the stock at lower levels may look to lock in profits in this region near a range of prices situated just below the April 2024 high and an area that preceded last July’s prominent stock gap.

This location also sits in the same neighborhood as a projected bars pattern bullish target that takes the stock’s move higher that preceded the ascending triangle and repositions it from the pattern’s breakout point.

Crucial Support Level to Monitor

During pullbacks in Ford’s stock, investors should keep an eye on the $10.30 level. This region could become a trading floor near the two key moving averages and a range of peaks and troughs that emerged on the chart between September and March.

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As of the date this article was written, the author does not own any of the above securities.