A friend Asked About NIO
I looked at NIO and it has fallen from a high near $70:
Price has “pulled back” (meaning, dropped after rising) for the fourth time since Mar! When we see a level get tested over and over and it finally BREAKS lower (and breaks that price level) it can be considered a LONG trade that could fail spectacularly.
We saw some technical Consolidation action and now I am seeing a series of short Measured Moves play out.
We have seen price move UP into nearly $70 only to be sold off. This means that he pro’s took profits up there and COULD re-purchase shares DOWN HERE AT around $30 to $34, but we never know unless we wait and ALSO see those pro’s jump back in and TRULY SUPPORT NIO with volume purchases.
I continue to see selling however. We shall see. I hope that this helps show you how a “technical” analysis can help a trader make better and more informed decisions on stock investments that prevent entering trades, such as our NIO instrument, when price action advises us to not take that risk.
Best,
Price has “pulled back” (meaning, dropped after rising) for the fourth time since Mar! When we see a level get tested over and over and it finally BREAKS lower (and breaks that price level) it can be considered a LONG trade that could fail spectacularly.
We saw some technical Consolidation action and now I am seeing a series of short Measured Moves play out.
We have seen price move UP into nearly $70 only to be sold off. This means that he pro’s took profits up there and COULD re-purchase shares DOWN HERE AT around $30 to $34, but we never know unless we wait and ALSO see those pro’s jump back in and TRULY SUPPORT NIO with volume purchases.
I continue to see selling however. We shall see. I hope that this helps show you how a “technical” analysis can help a trader make better and more informed decisions on stock investments that prevent entering trades, such as our NIO instrument, when price action advises us to not take that risk.
Best,
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