People say that nothing is guaranteed in the stock market. But they are wrong. There is one thing that is always true. Markets are always trending. They are either going up, down, or sideways. And it's guaranteed that sooner or later the trend will end.

Rivian Automotive, Inc. (NASDAQ:RIVN) has been trending lower over the past month. But this may be about to change. That's why it's our Stock of the Day.

When a stock is trending upward, demand outstrips supply, forcing traders and investors to bid higher prices to secure shares.

The sellers have the final say on where the next trade will take place. The buyers need to go to the sellers and accept whatever price they are willing to sell their shares at.

But when a market is trending lower, the opposite is true. There aren't enough buy orders to fill or absorb all the sell orders. As a result, the sellers will need to push the price lower.

The buyers will have the final say. The sellers need to go to them and accept whatever price they are willing to pay.

As you can see on the chart, shares of Rivian have been trending lower over the past month.

Read Also: Musk, Trump X Spaces Sparks Discussion: Benzinga Readers Say More Talks Should Be Hosted On Social Media

But that may be about to change. The stock has reached support around the $13.30 level.

Support represents a strong concentration of buyers willing to purchase shares at or near a specific price. At this support level, traders and investors can sell their shares without needing to lower the price further.

A downtrend can sometimes reverse when a stock hits a support level. This occurs when buyers anticipate that sellers may be nearing the completion of their orders, prompting them to step in and purchase shares.

These concerned buyers know the remaining sellers will go to whoever is willing to pay the highest price. So, they increase their bid prices.

Other concerned buyers see this and do the same. This could result in a snowball effect or bidding war that can push the shares higher.

Now the tide has turned.

There aren't enough sell orders to fill all the buy orders. Traders who wish to acquire shares will need to push the price higher to get the sellers interested. This can force the stock into a new uptrend.

And it may be about to happen with Rivian.

• Retail Sales Soar In July, Weekly Jobless Claims Undercut Expectations: Traders Lean Towards 25-Basis-Point Cut In September

Photo courtesy of Rivian.