NIO: Some Key Points and Strategies you can use!
Hello traders and investors! Let’s see how NIO is doing today!
Well, NIO triggered the pivot point at $ 39.74 (black line), which we discussed yesterday, and it is going up, as expected. Now, since the $ 39.74 was a previous resistance, now it is supposed to work as a support, according to the Principle of Polarity.
But if NIO loses the $ 39.74, the bull trend will start to get weaker. The 21 ema could hold the price, but I wouldn’t count too much on that. The Support Zone (blue area) seems to be a more reliable support in the short-term. But so far, NIO is still engaged in a bull trend, and it didn’t lose any of its supports.
Now, let’s take a look at the daily chart:
The daily chart suggests that a sharper pullback could occur, and this wouldn’t ruin the bull trend at all. It could hit the 21 ema again, or even the $ 29.40, which was a previous resistance, and the momentum would still be bullish. In a bull trend, pullbacks are opportunities to buy at a cheaper price, and to get into a safer trade, with an enhanced Risk/Reward ratio.
The volume is consistent, and although a pullback would be very good for everyone, there are no signs that this is going to happen in the short or mid-term. Instead of setting a target, I would use some exit strategy on NIO. This way I would still be on it as long as the trend continues.
For instance, if I were on NIO, and if I were afraid of pullbacks, I would just set a trailing stop at the previous day’s low. Meaning that right now, I would set a sell order at $ 38.25, and would only buy back when it hits the 21 ema. Or you may just set your stop under the black line in the hourly chart.
These are the key points for NIO, and if you liked this analysis, please, support it! And follow me to keep in touch with my daily updates. I’m sure you’ll find something helpful around here.
Have a great weekend!
Well, NIO triggered the pivot point at $ 39.74 (black line), which we discussed yesterday, and it is going up, as expected. Now, since the $ 39.74 was a previous resistance, now it is supposed to work as a support, according to the Principle of Polarity.
But if NIO loses the $ 39.74, the bull trend will start to get weaker. The 21 ema could hold the price, but I wouldn’t count too much on that. The Support Zone (blue area) seems to be a more reliable support in the short-term. But so far, NIO is still engaged in a bull trend, and it didn’t lose any of its supports.
Now, let’s take a look at the daily chart:
The daily chart suggests that a sharper pullback could occur, and this wouldn’t ruin the bull trend at all. It could hit the 21 ema again, or even the $ 29.40, which was a previous resistance, and the momentum would still be bullish. In a bull trend, pullbacks are opportunities to buy at a cheaper price, and to get into a safer trade, with an enhanced Risk/Reward ratio.
The volume is consistent, and although a pullback would be very good for everyone, there are no signs that this is going to happen in the short or mid-term. Instead of setting a target, I would use some exit strategy on NIO. This way I would still be on it as long as the trend continues.
For instance, if I were on NIO, and if I were afraid of pullbacks, I would just set a trailing stop at the previous day’s low. Meaning that right now, I would set a sell order at $ 38.25, and would only buy back when it hits the 21 ema. Or you may just set your stop under the black line in the hourly chart.
These are the key points for NIO, and if you liked this analysis, please, support it! And follow me to keep in touch with my daily updates. I’m sure you’ll find something helpful around here.
Have a great weekend!
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