After the steep rally, the stock is now trading near the overbought zone and a pullback could be in the offing. It is trading above all the crucial short and long-term moving averages of 5,10,20,30,50,100 and 200-DMA. The Relative Strength Index (RSI) is at 75.7. RSI above 70 is considered overbought. This implies that stock may show pullback, Trendlyne data showed. MACD is above its centre and signal Line, which is a bullish indicator.
Carvana surged 32.1% on Friday after reporting its first-ever annual profit, helped by its pact with bondholders to cut its outstanding debt by $1 billion.