NIO Inc.Long
NIO: A Strong Technicals and Growth Catalysts
Updated
Monthly Chart Analysis:
Since July 2020, NIO has successfully closed the Fair Value Gap (FVG) and reclaimed its position above the resistance line of a falling wedge. This breakout is crucial, indicating a potential reversal of the previous downtrend. Moreover, the monthly Relative Strength Index (RSI) falling wedge has been convincingly breached, accompanied by a bullish Morning Star candlestick pattern. Similar price action in October 2019 led to a remarkable surge of over 300%.
Two Weeks Chart Analysis:
On the shorter timeframe, NIO has broken out of a smaller falling wedge, suggesting an imminent move towards the $7 zone. However, the technical indicators hint at a more significant upside potential. Notably, the two bullish confirmations on the two-week chart, coupled with the RSI breakout, underscore the bullish momentum.
Upcoming Catalysts:
In addition to the technical strength, fundamental factors further support the bullish thesis. NIO's partnerships, positive sales trajectory, and expansion into the European market are poised to drive growth. Moreover, the anticipation of NIO's entry into the US market adds to the positive sentiment.
Risk Factors and Entry Strategy:
While the outlook appears promising, it's essential to acknowledge potential risks. Shorters should exercise caution as the stock is undervalued, and attempting to short might be risky. Instead, focus on long positions, particularly at opportune entry points. Look for corrections around $4.6, with potential support at $4.17. Alternatively, consider entry points near strong support levels such as $5.3 (0.5 Fibonacci retracement) or $4.65 (0.382 Fibonacci retracement).
Personal Strategy and Disclaimer:
Personally, I entered positions at $4 and $3.9, with a stop-loss set at $3.6 to manage risk. I plan to take profits at $10 and $16, aiming for reasonable gains without succumbing to greed.
In conclusion, NIO exhibits strong technicals and promising growth prospects, making it an attractive opportunity for bullish investors. Exercise diligence, manage risk, and stay informed to capitalize on the potential upside.
I am not a financial advisor, and this analysis is based on personal research and observation.
Since July 2020, NIO has successfully closed the Fair Value Gap (FVG) and reclaimed its position above the resistance line of a falling wedge. This breakout is crucial, indicating a potential reversal of the previous downtrend. Moreover, the monthly Relative Strength Index (RSI) falling wedge has been convincingly breached, accompanied by a bullish Morning Star candlestick pattern. Similar price action in October 2019 led to a remarkable surge of over 300%.
Two Weeks Chart Analysis:
On the shorter timeframe, NIO has broken out of a smaller falling wedge, suggesting an imminent move towards the $7 zone. However, the technical indicators hint at a more significant upside potential. Notably, the two bullish confirmations on the two-week chart, coupled with the RSI breakout, underscore the bullish momentum.
Upcoming Catalysts:
In addition to the technical strength, fundamental factors further support the bullish thesis. NIO's partnerships, positive sales trajectory, and expansion into the European market are poised to drive growth. Moreover, the anticipation of NIO's entry into the US market adds to the positive sentiment.
Risk Factors and Entry Strategy:
While the outlook appears promising, it's essential to acknowledge potential risks. Shorters should exercise caution as the stock is undervalued, and attempting to short might be risky. Instead, focus on long positions, particularly at opportune entry points. Look for corrections around $4.6, with potential support at $4.17. Alternatively, consider entry points near strong support levels such as $5.3 (0.5 Fibonacci retracement) or $4.65 (0.382 Fibonacci retracement).
Personal Strategy and Disclaimer:
Personally, I entered positions at $4 and $3.9, with a stop-loss set at $3.6 to manage risk. I plan to take profits at $10 and $16, aiming for reasonable gains without succumbing to greed.
In conclusion, NIO exhibits strong technicals and promising growth prospects, making it an attractive opportunity for bullish investors. Exercise diligence, manage risk, and stay informed to capitalize on the potential upside.
I am not a financial advisor, and this analysis is based on personal research and observation.
Note
Previous prediction:
Note
While the monthly chart is yet to be confirmed, It resembles the movement seen in 2019.The two-week chart signals strong confirmation. With the RSI breaking the falling wedge and two confirmations for a reversal, coupled with a bullish engulfing candlestick, I anticipate this month's close to surpass $7
Note
NIO investors: We're set to break the trendline, and prices could hit $10.2 sooner than expected. The falling wedge trendline and the 50 MA on the 12H chart converge at the same price. Once we break and close above $6, expect a sharp rise towards $10.2, where the 200 MA is located. Historically, when the market cap breaks out, there's an 84% chance the price will surge. Will history repeat itself, as it did in June 2020?
Note
Note
Note
NIO If we close this month above $6, the price is set to surge toward $8.4. After the close, wait for a retest of $6 before entering a long position with a stop loss at $5.60.
Target profits: TP1 at $7.8, TP2 at $8.4.
DO NOT SHORT THIS STOCK
Important:
You should wait for the price to break above $6, then let it pull back (retest) to confirm the breakout before entering a trade. This approach helps to avoid false breakouts and ensures that the $6 level becomes strong support, reducing the risk of entering too early.
Disclaimer
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