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Momentumtheory

WATCH $NVO BEARISH HINTS EVERYWHEREBearish Fundamental - Highly inflationary Macro environment / Q3 earning going to disappoint sentiment - Funds Distribution - Decent PE - Negative PEG - Decent P/FCF - Top Sector / Industry / Leader - Definitely niche sector but with highly inflationary environment and hints of bearish below technical Technical - - Momentum Theory Indicator - bearish divergence - Price action formation ( rising wedge ) - Price rotating clockwise - Still above upward Trend line - Still holding 200MA - Above POC - Holding ST - MACD divergence Entry idea - For members Stop loss depending on entry and risk appetite. But always set meaningful stops. "all things are difficult before they are easy" Cheers and happy trading!
NYSE:NVOShort
by nexxtrade
WATCH $WM DON'T LET IT GO TO WASTEBearish/Bullish Fundamental - High inflationary Macro environment / still no fear sentiment - Funds Distribution - Normal PE - Negative PEG - Decent P/FCF - High debt - Niche Sector / Industry / Leader Technical - - Momentum Theory Indicator - bearish divergence - Price action formation ( double tops ) - Broke down Trend line and did a retest / seems rejected - Rejected with POC - Rejected with 0.5 fibo level - Below 200MA - Good ST level Entry idea Attractive R:R - For members Stop loss depending on entry and risk appetite. But always set meaningful stops. "Don't be afraid of being different. Be afraid of being the same as everyone else" Cheers and happy trading!
NYSE:WMShort
by nexxtrade
WATCH $BABABullish Fundamental - Inflation Macro environment / fear sentiment - Funds Accumulation - Positive PE - Negative PEG ( seems leaning towards a value stock ) - Positive P/FCF - Weak Sector / Industry / not Leader - Very competitive online retail market Technical - Momentum Theory Indicator - break out downtrend / bottomed out - Price action formation ( falling wedge ) - Broke out downward trend line and retest - Price above POC - Price below major S/R level - Huge volume spike! - MACD divergence Entry idea - Entry idea was based on few confluences - Price above major S/R level - Price above fibo level - Price above 200 MA Stop loss set on previous low or POC level " STEPS BY STEPS, BASE CAMP TO BASE CAMP. I WILL SUMMIT" Cheers and happy trading!
NYSE:BABALong
by nexxtrade
WATCH $788 BORING IS GOODBullish Fundamental - Moderate inflationary Macro environment in the EAST / Most still like to chase WEST high don't fancy EAST undervalued sentiment - Funds Accumulation - Positive PE - Decent PEG - Positive P/FCF - Top 50% Sector / Industry / Leader - Boring sector but think 5G & 6G Technical - - Momentum Theory Indicator - momentum bottomed making inverse H&S action - Price action formation ( deformed falling wedge ) - Price action losing diving momentum, price action is rotating anti clock wise indicating a trend reversal - Trend line pending break out - Price above 200MA - Price under POC - Broke out S.T - MACD bullish divergence making a H&S formation Entry idea - Entry idea was based on few confluences - Rejection / retest of the trend line / neckline - Price below 200 MA Stop loss depending on entry and risk appetite. But always set meaningful stops. "I have two basic rules about winning in trading as well as in life: (1) If you don't bet, you can't win. (2) If you lose all your chips, you can't bet." Cheers and happy trading!
HKEX:788Long
by nexxtrade
WATCH $1211 SOMETHING IS AMISSSomething caught our attention on the weekly chart on $1211 BYD Company Limited on the HKEX. While the price is making higher high, we observed that the momentum is making a lower low forming a bearish momentum divergence. As you can see from the chart, each thrust momentum is diminishing forming a rising wedge which is a bearish price action. We foresee the momentum extinguish at the 3rd oscillation and eventually price will break down from the rising wedge into a bear cycle. Attractive R:R if you were to ask me. To achieve what others won't, you have to do what others don't“
HKEX:1211Short
by nexxtrade
REVIEW $3800Bullish Fundamental - Controlled inflationary Macro environment / boring sentiment in the East - Good theme - Carbon neutral / green - Funds Accumulation - Decent PE - Decent PEG - Decent P/FCF - Strong Sector / Industry / Leader - Great theme along with the CCP direction of carbon neutral Technical - - Momentum Theory Indicator - momentum consolidation / breakout - Price action formation ( Bull flag ) - Volume surged upon break out - Momentum broke out with volume surged and price broke out from flag pivot - Trend line - Price above 200MA - Price above POC as support Entry idea - Entry idea was based on few confluences - Price above POC - Price broke out pivot - Price broke out with volume surge and momentum break out Stop loss depending on entry and risk appetite. But always set meaningful stops. " Success is the sum of small efforts - repeated day in and day out. " Cheers and happy trading!
HKEX:3800Long
by nexxtrade
WATCH $ALBBearish Fundamental - Inflationary macro environment / fear sentiment - Funds Distribution - High PE - Decent PEG - Decent P/FCF - Strong Sector / Industry / Not Leader - Decent earnings - Decent fundamental Technical - Momentum Theory Indicator - H&S formation momentum - Price action formation ( rising wedge ) - Broke upward Trend line and retest previous high forming double tops - Price below 200MA - High volume node at peak - Potential cup and handle formation Entry idea - Entry idea was based on few confluences - Break of neckline and retest - Momentum broke neckline Stop loss depending on entry and risk appetite. But always set meaningful stops. "the distance between dreams and reality is called action" Cheers and happy trading!
NYSE:ALBShort
by nexxtrade
WATCH $ZMBullish Fundamental - High inflationary macro environment / fear sentiment - Earnings don't looks favorable coming quarters - Funds Accumulation - Decent earnings - Decent PE - Decent PEG - Positive P/FCF - Weak Sector / Industry - Covid lock down theme ? Technical - Momentum Theory Indicator - Seems like bottomed and making a reversal trend momentum - Price action formation ( falling wedge ) - Yet to break downward Trend line - Price still below 200MA - Price above POC Entry idea - Entry idea was based on few confluences - Rejection / retest of the trend line - Price below 200 MA Stop loss depending on entry and risk appetite. But always set meaningful stops. ”I fear not the man who has practiced 10,000 kicks once, but I fear the man who has practiced one kick 10,000 times.” Cheers and happy trading!
NASDAQ:ZMLong
by nexxtrade
SOMETHING IS BROKEN IN THE INSURANCE SECTOR. WATCH $IAK $KIESomething is broken in the Insurance sector. Is there insurance for insurance? Trading is like Sherlock Holmes, sniffing for clues. And this is what we found! $IAK - volume surged since 21st May 2022 - POC level seen at the peak of the chart seems like smart money has been distributing at the top - bearish momentum divergence / momentum broke below neckline $KIE - like $IAK, seems like the smart money haven been distributing at the peak ( stage 3 ) - price rejected upward trendline - price retest neckline at the moment - bearish momentum divergence "the difference between good and great is attention to detail" Cheers and happy trading!
AMEX:KIEShort
by nexxtrade
WATCH $ACLBearish Fundamental - High inflation macro environment / weak sentiment - Funds Distribution - Decent PE - Negative PEG - Decent P/FCF - Strong Industry - Supply and demand playing catch up ( over stocking ) Technical - Momentum Theory Indicator - bearish divergence on the daily - Price action formation ( rising wedge ) = diminishing bullish momentum - Double tops - Broke 2 years upward Trend line and rejected - Price below 200MA - Price above double top neckline / resting on major S/R Entry idea - Entry idea was based on few confluences - A rebound to retest the upward trend line or 0.5 fibo - A breakdown below the neckline and a retest Stop loss depending on entry and risk appetite. But always set meaningful stops. "if you cannot do great things, do small things in a great way" Cheers and happy trading!
NYSE:ACIShort
by nexxtrade
thenexxtrade MARKET REPORT JUN 2022CASH IS KING! CASH is currently the best hedge ( not Bitcoin, Cryptocurrency obviously ) against such brutal market that took out both long & short, depending on your time frame. VIX is very telling that it might break previous high now that it is onside with momentum is picking up. As VIX and the indexes are inversely related. The SPY, NASDAQ & DOW will be testing their previous low. Pretty sure retailers will attempt to bottom fish in the coming weeks. In the East, the Taiex who is closely related to the West suffered the same fate as Taiwan is heavily dependent on the Semiconductors industry. I believed the Supply & Demand are playing catch up now. Take a look at the $SMH. The Momentum Theory Indicator have warned us on the bearishness on the divergence! The only positive looking index will be the HSI. We will be watching the line closely and have pick up some names in our Watch list. They are fulfilled our quantitative filtering that are fundamentally healthy and undervalued companies! I have shorted the SPY/NASQ/DOW since early 2022 and have been increasing my cash allocation. If you have missed the. shorting opportunity. You will just do fine by increasing your cash position. If you are keen on any companies on the HSI, we will be happy to take a look for you! You may also wish to pick up our Watchlist to go along! Cheers and happy weekend to all traders!
SP:SPX
by nexxtrade
REVIEW $ELF STOPPED OUTHere is a review of my stopped out trade review on $ELF with a 1:3 risk to reward thesis. Bearish Fundamental - High PE - Negative PEG - Negative P/ FCF - One must note beauty and cosmetic related products are always top of the chart in the online business / Lazada / Shopee Technical - Price broke down 2 years upward trend line with a long wick rejected - Momentum theory indicator was seen under the water - Price further broke down forming a M top / channel Entry idea - Entry idea was based on few confluences - Rejection / retest of the trend line - Rejection on 0.5 fibo - Price below 200 MA Stop loss set on 0.786 fibo level which within 1% of my trading capital and got stopped out. Trading performance should always be based on how well you trade on the outcome of a single trade. Cheers and happy weekend to all traders!
NYSE:ELFShort
by nexxtrade
1
WATCH INDIA & XIAOMI $1810 Smartphone market in India - statistics & facts India will over take China and emerge as the largest population in the projected year 2100. Rising disposable income, cheaper internet, and the need to always stay connected are some of the factors that have led the Indian smartphone market to grow into one of the largest smartphone markets in the world. And with the entire nation glued to mobile phones ( like any other countries in the world ) It is undeniable that we cannot live without mobile devices. India will also emerge as one of the high growth economics moving forward. However, compared to other markets across the globe, India’s smartphone penetration rate is still relatively low. The demand for smartphones is likely to grow in the future as a considerable share of the population did not own a phone or were planning to switch from a feature phone to a smartphone. - 35% has no mobile phones & 45% owns mobile phones but not a smartphone. India has a huge potential uncovered market for mobile devices and home appliances for these 75% population whereby these two sectors will lead and grow as the fastest growing online products as the India develop. For your info, Xiaomi was one of the leading market shareholders in the Indian smartphone market. It sold phones under the brand names Mi, Redmi, and POCO. So technically, it should be on the number 1 spot. Not sure if you are aware, Xiaomi is undercutting the entire tech industry ( Mobile deceives & home appliances ) which covers the two sectors mentioned above that will lead and grow as the fastest online products Hope you enjoy my thesis and analysis on the fundamental. * not financial advice * my own analysis * pictures credit Statista Link to the technical as below. Cheers!
HKEX:1810Long
by nexxtrade
What can you learn from Journey to the westALOT ! Have you ever came across “Journey to the west”. Journey to the West is a Chinese novel published in the 16th century during the Ming dynasty and attributed to Wu Cheng'en. It is regarded as one of the Four Great Classical Novels of Chinese literature, and has been described as arguably the most popular literary work in East Asia Short summary: The plot revolves around Buddhist monk Xuanzang, who travels west to India with his four disciples, including the famous monkey king Sun Wukong, in search for holy scriptures. The other protagonists are the half-pig and half-monk Zhu Bajie and the water monster Sha Wujing. Everyone’s interpretation of the story is different which makes this more interesting. I would like to use this classic novel to illustrate one’s journey to peak trading performance aka = becoming rich, financial freedom or whatever goals you wanted out from trading. And in the novel’s context is to obtain the holy scriptures. =============================================== Character Tripitaka aka Tang Sanzang ( also refers to YOU the trader ) His goal is to obtain the holy scriptures ( monetary goals / your financial freedom ). But as a monk, he is unskilled unlike his disciplines who can fight demons except he is the leader of the group. He has a clear goal but he will face many obstacles ahead. His job is to gather help & transform his disciplines ( your emotions / flaws ) leverage their skills and expertise to obtain the holy scriptures. Sun Wukong or Monkey God ( your lack of patience / arrogance / fear of not being right ) Sun Wukong is the eldest disciple and the most skilful. He knows 72 transformation (can transform into many forms) He can create great damages when he is angry, like someone with anger management issues Sun work fast and act fast based on his own instinct and doesn't have much regards for SOPs ( trading plans). He is impatience, arrogance and often get into trouble and the needs to be right. ( early entry / refuses to cut loss / turn small loss into big loss just because of the need to be right ) Zhu Bajie or Pigsy ( your greed / fear of missing out / your laziness to seek to continuous learning) Pigsy is 2nd in command and is not as skilled as Sun. As he is half pig, half human and he is often distracted by greed, food, lust and laziness among other things. His greediness and fear of missing out often hinder the team’s progress during the journey. He is always tempted by temporary rewards and lust along the way, often not looking at bigger picture. ( short term profit taking and missed out the bigger trend, FOMO into something you did not do any research or know about and trade what the gurus / finwits are telling you without knowing their motivation, entry or exit ). You are simply too lazy to do your own research. Sha Wujing or Sandy ( not taking calculated risk / lack of confidence / fear of leaving money on the table / not sticking to the rules ) Sandy is the character in the story who doesn't talk a lot, carries the team's luggage and he would only speak when he needs to and mostly tells the truth about the situation. He is very timid and often sway by the opinion of others’ influence ( finwits / news / rumours / earnings ). He will follow suit ( close position / take pre-mature profit ) based on other’s opinion. He seems like one who doesn’t take risk and lack of confidence. ( your lack of research and back-tests leads to your low confidence to take trades when the signal appear and often missed out the entire trend!) The worst feeling in the world is knowing what is going to happen next but didn’t do anything about it. =============================================== Throughout the journey, these are the issued faced by all the Tripitaka aka Tang Sanzang’s and his job ( your job as a trader ) is to evaluate each disciplines' flaws ( your emotions and flaws ), correct them and create a harmonious flow of team work between one another. And I quote “ If you define the problem correctly, you almost have the solution.” – Steve Jobs Of course, they eventually obtained the holy scriptures. I think the bigger take away was never the holy scriptures. It was to find yourself and to be the best you can be. So is to trading. Many successful traders started out by wanting to be rich ( whatever goals ). Then they realized the true meaning of GOALS. GOALS = The process is more rewarding than the PRIZE. I wish you best and hope you enjoy my sharing.
AMEX:SPYEducation
by nexxtrade
2
WHAT IF YOU COULD TURN BACK TIME? Everyone makes mistakes. Break rules. Not being discipline. Fight the trend. And the list goes on. And sometimes you wish you could turn back time and "RETRADE" again. But that's not gonna happen. What if you REALLY could turn back time? What are the thing you would have done differently? I just want to share this counter-intuitive theory. In order to win, you must lose first. " I’ve missed more than 9,000 shots in my career. I’ve lost almost 300 games. Twenty-six times I’ve been trusted to take the game-winning shot and missed. I’ve failed over and over and over again in my life. And that is why I succeed. " - Michael Jordan And if you want something you never had, you must be willing to do something you have never done Here are the major indexes 6 months performance: SPX -19% DOW -13.9% NASDAQ -27% TAIEX -14.90% DAX -16.7.88% CRYPTO TOTAL MARKET -60% SOX -33.5% -What did you observed ? -What would you do if you could turn back time? -Would you do anything different? -Would you have gone long knowing that it might due for a (major) correction? Below a compilation of the BIG CAP stocks that the proprietary Momentum Theory Indicator indicating bearish momentum divergence prior the corrections. They said prevention is better than cure. Do you agree ? Embrace your mistakes! Do not be afraid to make mistakes! Mistakes are proof that you are trying.
SP:SPXEducation
by nexxtrade