0A1O trade ideas
BUY $ZM - NRPicks Ene 10Zoom Video Communications, Inc. provides a video-first communications platform in the Americas, the Asia Pacific, Europe, the Middle East, and Africa. The company’s product portfolio includes Zoom Meetings that offers HD video, voice, chat, and content sharing through mobile devices, desktops, laptops, telephones, and conference room systems; as well as Zoom Phone and Zoom Chat.
Technical:
Support in 350
Accumulation zone
MA 150
Elliot impulse wave
Fib Retracement 0.236
Zoom: Reversal at $400Zoom is already knocking on the door of $400 psychological.
Even though we have been going down pretty steep & wedgy and gave back 40% from the tops, Zoom managed to maintain the 50% Fibo Levels from the bull move up:
A break above $400 higher would lead to a more sideways consolidation from the ATH, instead of steep continuation. We can expect to run towards the upper $400 range to towads $500, so definitely a 20% profit potential from current levels.
ZM Head and ShouldersHead and shoulders pattern.
1. Company issued more shares, retail investors cheered but more shares are typically bearish.
2. Post pandemic use will remain high, growth however seems to be diminishing, even with zoom phone.
Opinion: Prices will hover around the SMA50 but fail to break higher. Prices will eventually turn towards the downside.
$ZM Lowest Daily Volume in monthsSomething I have noticed going through few market leader charts is that many of them put in their lowest daily volume in months.
Zoom's daily volume on Friday for example is the lowest volume since around mid Feb 2020 (blue line on the volume bars). Zoom's Friday volume was 66% below its 50 day volume moving average which is extreme.
Volume dry up normally precede strong moves (the quite before the storm type of thing). Word of advice though, the move doesn't have to be to the upside, so traders need to continue to follow their entry rules and not jump the gun on their entries.
Again, this volume dry up is showing up on multiple market leaders that I follow. Possibly signs pointing to a strong market move soon leading to volatility expansion.
ZOOM Analysis on 23/1/2021Bullish Opinion
If Zoom manage to find support around the area 372, most likely it will reach 455 and than only reach 600.
Bearish Opinion
However, if Zoom is unable to find support around 372, it will most likely find support around 325 - 345.
NASDAQ:ZM
My entry and target price
I have enter a small position around 350.
1st target price: 455
2nd target price: 600
* All trading ideas are not investment opinion and are for entertainment purposes only*
New entry on ZMIf you follow me would know that I have been watching ZM. I was targeting. 335/325 and made an entry in the 350 zone. I took profits at 364 and got stopped out on the remainder on the drop back to 324. I have since re-entered and now looking to add with todays look on the break of this basing pattern. Stock has some range so plan risk carefully. Hope the detail helps explain my process and trade management. Make sure to go back to my previous post to see how the plan played out.
ZM - Focus on the MomentumLook at that long, steady rise in RSI. We'll be triple-topping soon and I don't expect it to pullback and retest after it pops above $516 - next stop 525-530. If price breaks above $530, expect price action to go full parabolic similar to September 23. Sellers will be quick to jettison the second any weakness appears on the 2-min charts. Once RSI breaks above 70 watch for increase volume from scalpers looking for a quick rise.
If you step back and look the volume profile of this stock, it's getting pretty top heavy and ripe for a major correction (5-8% in a single day). That said, short of a headline saying that a definitive covid-19 vaccine will be available shortly to all Americans, I don't see the momentum drive of this stock fading anytime soon. I suspect will breakdown to $496 again at some point and reboot consolidation between $505 and $518.
That's my short and long-term forecast. Bullish until we go butter knife parabolic. Bearish from breakdown to $496.
$ZM struggling with fib retracement. Inverted C&H?Hello fellow traders and padawans. I did a previous analysis on ZM where I suggested it formed a rounded top (links below). Zoom reacted from the rounded top neckline and rallied a few percentage points. It is struggling with the first fib retracement level for the third consecutive day, which I have anticipated on the previous analyses (seriously, check them out). It looks now that is forming an inverted cup and handle, which is a common pattern to be formed after a rounded top. Bulkowski even suggests them as "related patterns" on his book.
Anyway, keep this on your radar. If the pattern is confirmed there may be way more downside for zoom. Also, there may be smaller patterns within the inverted C&H. Remember: large patterns tend to win most of the times.
Safe trades!
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***The ideas shared here are my opinion, not financial advise to place trades. Please do your own research before buying/selling stocks***
