Pony AI Shares Continue Their Steep Descent

The autonomous mobility company Pony AI is witnessing a relentless sell-off in its shares, which fell nearly 6% in the latest session to close at $12.22. For ten consecutive trading days, the stock’s trajectory has been singular: a sharp and sustained decline.

All Eyes on the November 25 Report

The upcoming quarterly report, scheduled for November 25, is now the focal point for the embattled stock. The Q3 results are anticipated to be a decisive factor, potentially determining the next directional move. While the fundamental business data will be under intense scrutiny, the current technical outlook remains decidedly negative.

This persistent downturn is happening despite significant corporate achievements. In a landmark decision, Pony AI became the first company to receive approval for fully driverless robotaxi services across all four of China’s Tier-1 cities at the end of October. However, this regulatory milestone failed to alter the stock’s downward momentum. Similarly, market rumors concerning acquisition talks with Uber for its U.S. subsidiary provided only fleeting relief, failing to spark a lasting recovery.

Should investors sell immediately? Or is it worth buying Pony AI?

Technical Indicators Paint a Grim Picture

The scale of the recent decline is severe, with the company’s market value eroding by 30% over a mere two-week period. Yesterday’s trading highlighted the deep-seated uncertainty, as the stock swung in a range exceeding 12% between its daily high and low before settling significantly lower.

A look at the chart reveals a concerning setup:
* A clear bearish signal is present, with the 20-day moving average trading well below the 60-day average.
* Key resistance levels at $17.98 and $20.10 now appear distant and difficult to reclaim.
* Critical support zones are looming dangerously close at $11.11 and $8.98, levels that may soon be tested if the selling pressure continues.

A Critical Juncture for Investors

With the stock down over 30% in just ten trading sessions, the stakes for the next earnings report are exceptionally high. The market has already delivered its preliminary verdict through this aggressive price action. The burden is now on Pony AI to demonstrate with its Q3 figures that it is on the cusp of a commercial breakthrough, thereby justifying a potential reversal. For investors, the pressing question is no longer if the stock will fall further, but rather how much deeper the decline will go before finding a solid foundation.