Lucid SET for a 10% Rally? ⚠️ Saudi’s $600B U.S. Investment – Key Sectors & Lucid Breakdown
Overall Thesis
Lucid is up 1.69% piggybacking on broader market all-time highs; Trump's 15% corporate tax for US manufacturing is a direct bottom-line benefit for Lucid, and abnormally low options volume historically preceded a back-to-back 10%+ rally.
Narratives
Trump's announcement of 15% corporate tax for US-made products benefits Lucid's Arizona manufacturing more than the loss of the $7,500 EV credit would hurt it. The speaker is skeptical that Saudi Arabia's $600B US investment pledge will directly benefit Lucid, advising against buying on that basis. Abnormally low options dollar volume (under $1M — last seen December 5, 2024) preceded a back-to-back 10% green-day run previously, suggesting a similar setup is forming. Shorts increasing 4.21M shares during power hour is read as a sign of shorts being worried about upside.
Key Arguments
- 15% US manufacturing corporate tax rate could more than compensate for loss of $7,500 EV credit
- Back-to-back sub-$1M options dollar volume historically preceded consecutive 10%+ green days
- Shorts aggressively adding 4.21M during power hour signals they're worried about a breakout
- Options consensus above $3 for this week, reflecting immediate upside bias