Chinese Stocks Inverse H&S reversal? BABA had strong earnings and beat earnings expectations.
The stock popped and retraced back however it is showing nice support on that right shoulder along with XPEV and & NIO.
I like these stocks as a buy here and think they can easily reach the neckline resistance by the end of the month. They
They have all broke their respective downtrends.
XPEV & NIO have earnings this month and with many people converting to electric vehicles they could surprise us in a good way.
Im still skeptical on SPY at current levels so I would like to see how these stocks react on the next retracement/correction/continuation.
NIO
NIO Long The Safer Way 15 strike Nov Earning day play:
SELL DOTM PUT NIO 18 NOV22
FOR $2.13
Strike 15 ROI =15/2.13= 14.3 %
Target support zones 13-16 target resistance 27-30
*** 2 outcomes
a) Stocks close above 15 By EXP in November we make an income 14.3%
b) Stock Tanks because of delisting fears or geo political USA china We get the asset stock at 15 strike - credit received $2.13= $12.87
Safety of margin current stock price 22-12.87= 9.13 trade structure safer
Hope it helps
Marc
NIO - The Top is in. Lower Prices AheadTo no surprise NIO like most of equities is vulnerable to the increasing pressures of inflation and the feds responsibility interest rate hikes.
Technically we see NIO is a BEAR FLAG structure right at the $20 Key Level
Making NIO more interesting is that this structure is formed with LESS participation on the second attempt at $20
Meaning NIO made a HH (Higher High) with LESS participation, So... we have a M top inside a bear flag
We love seeing these patterns as it brings confluence to much lower prices.
Ideally we would like to see the market open Tuesday Strong then position in NIO for additional confirmation however NIO is a sell NOW.
We have positions open and running so we are going to wait on ideal to enter.
Price targets on NIO would be a 3 Month contract down to $10/11 or 50% off.
UPDATE #3 When will NIO finally get going?I've been playing with NIO for almost a year now and seemingly very familiar with it's predictability. I haven't moved any of my lines on the charting above from the initial June post, just added in a few directional guesstimates (depending on good earnings). We broke below what initially appeared to be an ascending triangle, continuing to support my idea of a small entry at $17 and a few more nibbles down into $16
NIO - Bearflagging in the key zone
Rejected VMA at 24 and now showing signs of bearflag on daily.
Early to call, but any push above hear and below VMA (black line) should be treated with skepticism. In fact, it'd be a good spot to short with the S/L just overhead at VMA
If it can close above VMA, then watch for continuation to 30-32 before pullback.
Disclosure: I am long at 20.90, will give it a couple of days with breakeven stop loss if the pricer moves higher or 20.50; whichever hits earler.
$NIO a technical blessing 👁🗨*This is not financial advice, so trade at your own risks*
*My team digs deep and finds stocks that are expected to perform well based off multiple confluences*
*Experienced traders understand the uphill battle in timing the market, so instead my team focuses mainly on risk management
My team entered Chinese Electric Vehicle company $NIO today at $22.50 per share. Our first take profit is set at $27.50. We also have a stop loss at $21.
OUR ENTRY: $22.50
FIRST TAKE PROFIT: $27.50
STOP LOSS: $21
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BTC's market structure compared to NIO's (EV) shows potentialHey, here I share an idea.
NIO is a Chinese EV's company.
I don't have some strong arguments to compare these two, but I believe we can see a reflect of the risk's markets on their structure.
That said, I believe that BTC did find a bottom on 30k and could test higher, between 46k and 50k.
I would long this with no leverage, just in case it does test 20k later.
Do you think the MAs are showing some information?
Let me your opinion in the comments.
Third Time is a Charm: Chinese New Year: Yatsen Retail$YSG has been down only for its existence (i got fleeced badly in the first few post IPO months)
fundamentals vs share price are converging toward a point of must-buy
China and Chinese ADRs are always known to be massive risk - because many Chinese frauds are in the history book
IF this turns out not to be a fraud, Rather it turns out to be the NIO Motors of Retail MakeUp and lifestyle branding
THEN this becomes an easy 4 bagger and potentially a 20 bagger in the next few years.
NIO maybe “reaching” $37-$38 ONLy. 19/ June/22NIO possible found its “temporary “ base as its monthly chart forming a pin bar/ doji candle stick bullish pattern. Price could trending up to around $37-$38 which is next 1) major supply zone 2) Upper Downward trendline resistance of Parallel Channel (yellow line)
NIO Inc. (NIO, BUY)COVID Lockdowns Weigh on 2Q Guidance; Set to Recover in 2H
Maintain BUY and Decreasing PT to $35
NYSE:NIO
We are maintaining our BUY rating and decreasing PT to $35 (was $40) after NIO reported in line 1Q:22 revenue, with margins below expectations. With 1Q deliveries (25,768) preannounced, investors primarily focused on 1Q margin, 2Q guidance and 2H outlook. Vehicle margin declined to 18.1% in 1Q, down 310bps y/y and 280bps q/q, 136bps/86bps below Tiger/consensus, mainly due to increased battery cost and revenue mix shift. The company guided 2Q deliveries to 23,000 – 25,000, decreasing from 25,768 in 1Q, primarily due to supply chain disruptions caused by COVID. Despite the supply-side constraints, NIO's order intake reached a record-high in May, suggesting robust demand. 2Q vehicle margin should further decrease from 1Q, as battery cost, which peaked in April, is now linked to raw material price based on the new procurement agreement with the supplier. Although NIO increased prices by RMB 10K for all models in May, 2Q deliveries are still pre-price-adjustment vehicles. However,
as production recovers in 2H and battery raw material price declines, gross margin should start
to recover in 3Q. NIO will start delivering ET5 in September, and ES7 in August. NIO plans to
start delivering the mass-market brands in 2H:24.
Overall, beyond the temporary supply chain constraints, we see robust volume and margin recovery in 2H as NIO starts to deliver two new NT2.0 models (ET5 and ES7) with higher gross margins. Current valuation of 2.0x '23E sales is also attractive compared with TSLA's 7.2x. Maintain BUY.
NIO Adam and Eve double bottom / DragonNYSE:NIO
Nio has been in the new recently so i decided to take a look at the chart.. and heres what we can tell
beaten down Chinese stock that has already started to bottom out...double..bottom..out lol
not only it is a double bottom but its a near perfect representation of an adam and eve double bottom. POTENTIALLY
which would make setting PTs for this fairly straight forward.
ALSO with that double bottom the large structure looks to be that of a Dragon with a very clear spine.
again which would make setting PTs for this even more straight forward
however you'd like to look at this chart one thing seems for sure/ from a purely technical standpoint this asset looks like it has plenty of upside to run.
let me know what you guys think in the comments.
and as always , happy trading