BIDU (daily) inverted chart
I inverted the chart to make it easier to see the bearish perspective of the chart, ascending triangle are really easy to see. On the right side, we are currently in the last leg (E) of the falling triangle. A break of 170 would possibly bring us back to a previous top that could act as a support. But, is it doable ? Not so sure, it looks already cheap enough to attract buyers.
BIDU has currently a PE ratio around 8.50, yes only 8.50 in that market !!! We can see it as undervalue and a good buy. If China stocks comeback in the second half of 2021, that count would be invalidate. Next earnings will dictate the direction of BIDU. It will bring us back to a 200 retest or down to the target on the chart.
Everyone should be aware of both perspective, but longterm and fundamentals always win. BIDU is a great company, their revenue is increasing every year and has a lot of potential, it is also at a good price so scaling in could be a good strategy :)
BIDU has currently a PE ratio around 8.50, yes only 8.50 in that market !!! We can see it as undervalue and a good buy. If China stocks comeback in the second half of 2021, that count would be invalidate. Next earnings will dictate the direction of BIDU. It will bring us back to a 200 retest or down to the target on the chart.
Everyone should be aware of both perspective, but longterm and fundamentals always win. BIDU is a great company, their revenue is increasing every year and has a lot of potential, it is also at a good price so scaling in could be a good strategy :)
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.