Electric car maker Kandi Technologies $KNDI surged after the National Highway Traffic Safety Administration approved its Model EX3 and Model K22 electric vehicles for importation to the U.S. (Yahoo Finance). Price was trading just under $6.00 during the 2/19 session. It popped up after the import approval news, and is testing the $8.50 area as resistance during the 2/20 session. KNDI Daily Chart (click to enlarge) Bullish Breakout:- Note that price was in a consolidation range between roughly $6.50 and $3.50. - With the bullish breakout, this $6.00-$6.50 area might become support if the market has become bullish.A Bigger Range:- When we look at the weekly chart, we can see that there is a bigger range essentially between $3.40 and $10.00. - We are likely going to see price test the $10.00 resistance.- Also note that there is bullish momentum developing, based on the weekly RSI. - I think KDNI has shifted from bearish to neutral, and is now starting to make a case for a bullish outlook.- I don't want to chase the current breakout. Instead I plan to set up buy orders for $7, $6, and $5. - This may never happen. And if price breaks above $10.00, I will likely move the buy orders higher. - For now, there is still a possibility the market respects the $10 area, and keeps the market in a neutral mode, under which there could be a short-term dip back towards the middle of the range, which would be around in $6.50-$7.00 area. KDNI Weekly Chart (click to enlarge)