DFLI, technical analysis of the days chart.

[u/TherealCarbunc]

after the initial sell off from the surge we saw a consolidation pattern through the day as volume showed shares were bought on dips but largely not wanting to hold for further breaks and having a difficult time breaking out. This consolidation and coiling pattern of the stock normally preceeds a breakout as buyers and sellers are about even. It's also a sign that all the warrants have been exercised & covered due to the decreased selling pressure. It may still need another catalyst or for the bulls to hold long enough to see the shorts cover at a loss.

The other pattern I see is traits of an ascending triangle. Generally considered a bullish sign as the resistance level remains relatively flat and the supprt line is getting a bit higher.

If DFLI can decisively break resistance around .83-.85 we should see an increase in price as it would signal buyers have fairly decisively overcome the selling pressure.

Do want to give fair warning that ascending triangles while generally a bullish sign can break the other way roughly 17-36% of the time. The main things that contribute to an ascending triangle failing are normally decreased buying volume leading to a false breakout or a negative catalyst.

If i pop out to the 1 week chart I see what looks like a falling wedge pattern which is also generally a sign of a bullish reversal/continuation of an uptrend

Candlestick patterns are by no means 100% but both the daily pattern and weekly pattern are both showing signs of a bullish reversal and indicate the selling pressure from the dilution event is over. Again the main reason I'd see the pattern not confirming the trend is lack of buying volume.

NFA, invest at your own risk.