Trying to explain the stock market's movements, Jim Cramer said that speculative stocks such as Nikola Corp. (NKLA) are also weighing on investors' minds. Let's check out a couple charts of this company that designs and plans to manufacture hydrogen-electric trucks.
In the daily Japanese candlestick chart of NKLA, below, we can see that the shares soared from April to early June. Prices have been working lower and bouncing and working lower since early June. The slope of the 50-day moving average line is negative and prices are testing the rising 200-day moving average line.
The trading volume has been heavy this month and the On-Balance-Volume (OBV) line has been up and down and up and down. Despite the jiggles in the OBV line, prices have declined so far this month. The Moving Average Convergence Divergence (MACD) oscillator is bearish as it is pointed down and below the zero line.