Uber Share Price Outlook: Latest Court Case Presents Headwinds
Uber share price is attempting to halt recent losses following the announcement that the company was giving out 10 million more discounted and free rides to seniors, needy people, and health workers, as part of its contribution to the fight against the coronavirus pandemic.
How the company intends to achieve this on the back of complaints by drivers in several countries of being underpaid by the company is not yet known.
These developments come on the heel of court action by drivers in the UK against the company, requesting that the company grants full access to the drivers’ data collected, as per a report by Reuters. Drivers are demanding access to the driver performance data they say Uber uses to calculate their earnings per trip.
Uber is challenging these claims and says it cannot release all data in the interest of passenger safety. Uber is presently trading 0.87% lower on the day.
Technical Outlook for Uber
Uber share price is currently trading within a falling wedge pattern, with the price also testing support at 50.06 (high of 16 November and low of 17 December). A breakdown of this support invalidates the pattern and opens the door towards 48.35, with 46.07 and 45.10 lining up as additional support targets.
On the other hand, a breakout above the wedge fulfills the expectation for the pattern and allows buyers to target the 52.43 resistance, with 54.95 and 56.17 (9 December) also serving as additional targets to the north.