Carvana Stock Looks Ripe For Another Rebound

Core Viewpoint - Carvana Co (NYSE:CVNA) is experiencing a rebound, trading 2.3% higher at $324.67, following a significant pullback to the $280 level, indicating potential bullish momentum in the stock [1] Group 1: Stock Performance - The stock has shown resilience, bouncing back from the $280 level, which was a significant point during its June pullback [1] - Following a previous signal, the stock reached a high of $372 just three days later, suggesting strong upward momentum [1] - Historical data indicates that similar signals have led to an 86% success rate in the stock being higher one month later, with an average gain of 6.7% [3] Group 2: Technical Indicators - The stock is currently within 0.75 of the 200-day moving average's 20-day average true range (ATR), having remained above this level 80% of the time in the last 10 trading sessions and two months [2] - A move of similar magnitude from the current price could position the shares near $346.42 [3] Group 3: Options Market Sentiment - There has been an increase in put options, indicating a prevailing pessimistic sentiment, which could provide room for bullish movements if this sentiment reverses [5] - The 10-day put/call volume ratio stands at 1.94, ranking higher than 90% of readings from the past year, suggesting a notable level of bearish sentiment [5] - Options are currently priced low, with a Schaeffer's Volatility Index (SVI) of 67%, indicating that near-term option traders are expecting relatively low volatility [6]