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DoorDash Forecast: Stock Pulls Back Toward Key $230 Support

By Christopher Lewis

Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex...

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  • DoorDash continues to drop a little bit. It just kind of sloping lower, but I'm watching the $230 level.
  • Furthermore, you also have to keep in mind that the earnings call, the next one, comes out August 6th.
  • So, we are only a couple of weeks away from it. And it's probably worth noting that DoorDash has been in a pretty strong uptrend over the last, say, two or three months. So, a little bit of a pullback makes quite a bit of sense.

You could start to look at this through the prism of the overall rally and where we are heading. It is worth noting that $230 is right around the 23.6 Fibonacci retracement level. Or if you take it from the pullback after the initial surge, you will see that we are again heading towards a couple of different fib levels.

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Bounced from Lows During the Session

DoorDash Forecast Today 18/07: Stock Pulls Back (graph)

So, with that being said, and the fact that we have bounced a little bit from the lows during the trading session on Thursday, I think you've got a situation where DoorDash is starting to attract a certain amount of attention. Volume is typical. The biggest problem we have with volume studies right now is that it is the middle of summer in the United States. And that, course, means a lot of traders are just simply away on break. Summertime trading can be very, very sluggish. And in fact, the market itself over the last couple of weeks has done pretty much the same thing. DoorDash has done now. DoorDash continues to see massive growth, especially anybody who lives in a college town or in my case, I live in a city that has one of the largest universities in the world.

I can assure you DoorDash is not hurting customers. This time of year, that big part of the population that uses DoorDash might not be ordering as much, but remember markets are forward looking, so they'll be looking to the next surge higher. Retail sales were strong during the trading session and while not a direct correlation in the United States to ordering from DoorDash, it does suggest that Americans will continue to buy.

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Christopher Lewis has been trading Forex and has over 20 years experience in financial markets. Chris has been a regular contributor to Daily Forex since the early days of the site. He writes about Forex for several online publications, including FX Empire, Investing.com, and his own site, aptly named The Trader Guy. Chris favours technical analysis methods to identify his trades and likes to trade equity indices and commodities as well as Forex. He favours a longer-term trading style, and his trades often last for days or weeks.

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