Fisker said his company is not only looking to reinvent the car, but also how cars are purchased. He said Fisker will offer flexible leases where buyers can return the vehicle any time they want.
Additionally, customers of Fisker will be able to buy features for their vehicle using an app on their phone. When the car is returned, those features will be reset for the next lessee. Fisker expects their vehicles to have 10 owners over a 15-year lifespan, giving the company recurring revenues.
Fisker didn't set out to be a player against Tesla (TSLA) , Fisker added. He said they are doing their own thing, giving consumers a true alternative to the Tesla experience.
Let's check out a few charts.
In this daily Japanese candlestick chart of FSR, below, we see an up and down and up and down pattern of trading that reminds me of my last EKG with my cardiologist. The slopes of the 50-day moving average line and the 200-day moving average lines are positive so we know mathematically that prices are in an uptrend but it looks way too difficult to trade this stock.
The movement in the On-Balance-Volume (OBV) line matches the price swings and that is discomforting as it suggests traders come and go from this security. The Moving Average Convergence Divergence (MAC) oscillator is currently bullish but it too has moved up and down with the price action.
In this weekly Japanese candlestick chart of FSR, below, we can see more price history but the movement does not get interesting until July.
Prices swing up and down too quickly for my stomach and the OBV line and the MACD oscillator make similar swings.
In this daily Point and Figure chart of FSR, below, we can see the price action with some of the "noise" filtered out. A potential price target in the $42 area is shown.
Bottom line strategy: The Point and Figure chart of FSR suggests a target of $42 is possible but the trading pattern is just too choppy for me to recommend purchase at this point in time. I am going to keep FSR in mind and check back to try to identify a time and location to probe the long side. Stay tuned.