The electric vehicle sector has been absolutely on fire this summer. Popular names such as tesla, nikola and workhorse have been making a lot of money for a lot of people because of the increase in popularity. I wanted to specifically address one of my personal favorite eevee stocks. Highly on, what's going on moon gang, i hope you're having a great day.

My name is matt, and in this video i will be covering an overview of hyaline. I will be discussing what sets them apart from their competitors, and i will also be touching on the recent news that caused the stock to climb an impressive 20 make sure you stick around until the end, because i will also be doing a technical breakdown of the Chart so you have a better idea of what levels to watch for in the short and medium term if you're interested in this type of stock market related content join the moon game by hitting the subscribe button. Don't forget to turn on your notifications, so you don't miss any of the new videos alrighty. Then, let's get started so for those of you who don't know, hylion is attempting to capitalize on an 800 billion dollar market opportunity by becoming the leading powertrain provider of electrified solutions for the commercial vehicle industry.

To sum this all up, they are attempting to transform the entire trucking industry in an eco-friendly manner, and, unlike nicola this company isn't all hype. Hylion already has some products out in the world being utilized by consumers as of today. Their main product is a highly on hybrid electric system, which is a powertrain system that can be installed on a class 8 vehicle. When you compare a normal diesel truck to one that has hylion's powertrain system, the upfront vehicle cost is roughly 35 thousand dollars less.

But with that being said, the seven year total fuel cost is 50 000. More now the system is less powerful, so it does lose. Some revenue in terms of a payload but the seven year, total cost of ownership, is less for the hybrid electric system opposed to a normal diesel truck. So not only is this powertrain good for the environment, but it's also cost effective.

I wanted to take a quick moment to highlight how cool this technology actually is, because it can be installed with any normal class 8 vehicle. The fact that the barrier to use this is so low and in the long run it's a cheaper option. It's no surprise that companies such as wegmans, penske and ryder are already using it. The hybrid electric system is definitely cool and exciting, but i'm actually most excited about their hyper truck, erx or just erx.

This will be hylion's own class, a truck and will be a direct competitor to nikola and tesla trucking. Here we can see a nice comparison between all three and i think it's funny that nikola is on the list at all, because hylion beats it in literally every single category. It will be available sooner, it will cost less. There are more fuel savings and it has a better payload, since the number is in parentheses, that's added revenue when comparing the erx to tesla the upfront cost is more but the seven year total cost of ownership is still less when compared to a normal diesel truck Tesla would represent a one percent loss, nikola would be a comically bad 48 loss and the erx would be a 35 gain.

One of the reasons why the numbers for the erx are so good is because it's using renewable natural gas tesla would be using electricity and nikola would be using hydrogen fuel cells. Natural gas is a smart option for a few reasons, one of which is that there's already an existing infrastructure. A lot of money will have to be spent to get the same amount of charging stations for hydrogen and electricity that already exists for natural gas and in terms of the environment. Renewable natural gas is actually carbon negative.

This means that it's actually better for the planet. For these trucks to be driven rather than doing, nothing at all, this graphic highlights how the erx has superior range, payload capacity, refuel, slash, charge, time and performance. Honestly, it's not surprising at all that the company has already pre-ordered 1 000 hypertruck erx's. This initial demand is promising and i personally think it will do nothing but increase in the coming months.

Speaking of the coming months, i would be willing to bet that highly on stock will have some sizable moves. At the end of july, it was announced that hylion would be merging with tortoise acquisition group at the time i'm making this video. The combined company is trading under shll, but when the deal goes through, which is expected to happen in september, it will be trading under h-y-l-n. The pro forma implied market capitalization over 1.5 billion dollars.

I'm pointing this out because at one point the market cap for nikola was over 20 billion and they don't even have a product. Now i can't say this definitively, but i strongly believe hylion will one day be worth more than 1.5 billion dollars. Proceeds were used to fully fund the commercialization and mass production of the company's electrified powertrain solutions. This just basically means that they're better prepared to handle the consumer demand.

Here's an interesting quote from the ceo of tortoise acquisition over the past 15 months since our ipo. We have evaluated more than 200 companies looking for the ideal opportunity where our expertise and capital would be the catalyst needed to unlock the full potential of a high growth business. I don't know about you, but as a member of the bow camp, i find it extremely reassuring that out of 200 companies, hylion was the best option. I think they are well positioned as a company and have the right team in place to make their goals a reality, and if they can pull this off, their stock will most likely be going to the moon.

This brings up the recent action of their stock, which is currently trading under shll, but most likely in september it will be switched to hyln over the past two days. The stock is up a newsworthy 22 percent and at one point it was trading as high as 32. Unfortunately, the reason for this recent upswing wasn't that exciting, basically hylion's efforts to go public have advanced, which is prompting some hype around the stock when this happened to nicola the stock exploded. So this type of action isn't that surprising, but it's not necessarily warranted.

It's more related to excitement, but until that deal goes through, let's break down the main support and resistance levels on the daily chart for shll. If you already have a long position, i would recommend taking some of your profits off the table at previous resistance. The first one would come at just over 28 dollars. If the bear camp can't defend this line, i would then be looking for a retest of the all-time high at 34.67, based on the most recent close.

The first level of resistance would represent a gain of 15 percent, and the test of the all-time high would be a gain of 41. Of course, if the stock gets above this, it could definitely continue to run, but it's hard to pick out areas of resistance when the stock hasn't developed in this region. On the flip side, i would not recommend buying the stock on a random whim. If you are bullish on this company, you should be creating a position as close to support as possible.

The first area of demand i will personally be watching would come at 21 dollars and 20 cents. This specific area has served as support on two occasions and resistance on one. If the bulls can't hold this line, i would then be looking just below 18. This served as the low in july and would also represent a gap fill from late june.

You could always look for this gap to be filled, but if i'm being honest, i don't think this will ever happen from the most recent close. The first support would represent a decline of 13 and the second support would be a drop of 27 percent from a technical perspective. These k areas of support and resistance are what i'll personally be watching until the company is trading under the new ticker h-y-l-n. For more of a fundamental and long-term view, i'm bullish on hylion because it's well positioned in a hot sector and it offers a superior product as things continue to develop with this ev company, i will make sure to keep you updated and informed about what's going on.

If you made it this far in the video, i truly appreciate your support. My entire goal is to provide as much value as i can. So if you have any suggestions, recommendations or just want to say hi, let me know in a comment below if you enjoyed the video. Let me know by hitting the like button: if you enjoy this type of content, and you want to take your trading account to the moon join the party by subscribing to the channel thanks for watching and until next time best of luck in the markets.

You.