Earlier this week, Honda Motor and Nissan confirmed they are in talks about a possible merger at time of auto industry upheaval. Toyota stock cleared a key level on Friday. Honda stock rallied further above a technical level,

Japanese automakers Honda and Nissan will attempt to merge and create the world’s third-largest automaker by sales as the industry undergoes dramatic changes in its transition away from fossil fuels.

The potential merger could help boost the auto companies production of electric vehicles amid growing changes in the car industry.