Niosetup
Some kinna weirdass downward megaphone thing happening hereThere's been this parallel channel in NIO's price action that I've been following for a while because my friend bought up a bunch of it and did very well. I started watching the chart just to see what would start to materialize and (since he's somewhat of a novice trader) I thought it might be a good idea for me to keep my eye on it in case I saw any potential dangers.
So I emailed him back on the 22nd to tell him that a fall could be in the works and I was right, but now it's at a make-or-break moment. It's either going to break out of this downward megaphone pattern and continue in its parallel channel, or it's going to take a dive.
RSI and MACD are both suggesting it'll break out, but I'm a little more skeptical. I'm leaning toward a bigger fall. Slightly.
Anyone have any thoughts? Lemme know!
NIO next potential bullish legCatch the bulls if you can. A daily close above the flag would suggest more bullish sentiments
NIO Inc. Long📈 NYSE:NIO LONG D1
🛒Buy above = 59.38
🎯Target1 = 62.58
🎯Target2 = 67.76
🎯Target3 = 72.94 - 76.14
🛑Stop loss or cancel trade = 54.20
NIO potential CUP & HANDLEGood afternoon young padawans of the markets. I hope everybody is doing well despite the world around us these days. It is time to discuss NIO. The stock soared to ATH after NIO day last Saturday ((I fell like every stock I write about is at ATH. Well, we can worry about that later). NIO has been a beast since late 2019. I am glad I got in early, with an average buy price of $13.5 but I wish I had gotten in earlier when I first noticed it around March/April, at which time it was trading under $3. That's right $3 dollars. Anyway, this one I am keeping for my long term portfolio but like TESLA, I am also taking advantage of the big swings and trading some shares when the opportunity arises.
CUP & HANDLE
It seems like another buying opportunity may be presenting itself in the horizon. It looks like NIO is printing a CUP & HANDLE pattern on the daily chart. As you may know, in general the longer patterns take to form the stronger they are. A C&H on the weekly chart would be stronger than one formed on the daily, and the target would most likely be higher. However, C&H on the daily chart are also very reliable formations.
All that said, the C&H is not confirmed at this point since it can take a few more days to complete the handle portion of it. We may also have a fast downside or upside move outside the handle area, which would most likely invalidate the pattern. It is unlikely but it can happen. Additionally, even if the C&H forms it doesn't need to breakout necessarily although that is the bias. In any case, you should keep this on your watch.
OTHER TECHNICALS
Further downside move is corroborated by:
1. bearish divergence between price and RSI
2. MACD starting to curl down
3. RSI itself moving down (thus forming the divergence)
4. ADX moving up while the price moves down (ADX is a trend indicator--if price is going down and ADX up it means a downtrend may be about to start)
5. -DI curling up while +DI curls down, showing that it may be time to short or close positions (still in its beginning but moving fast)
6. There are two consecutive gaps, a clear result of the euphoria around NIO day. These are breakaway gaps, which more often than not are filled
7. NIO moved away from the emas a little too quickly when compared to previous rallies. That is ok but I believe that when we add all these indicators together it makes sense that NIO would pullback in the short term and catch up with the 14-ema and 21-ema.
8. the first breakaway gap happened right on what was then resistance for four consecutive days recently and five consecutive days in the beginning of the cup formation. It was on that resistance that the price was sent down. Additionally, the 14-ema and 21-ema are moving close to that resistance. It would make sense that that level is now tested as support.
WRAPPING UP
Now these are the strong technicals that provide enough foundation to believe further downside is about to happen but as I always say, it doesn't mean that the price has to go down and the C&H has to form. This is just the bias. Although there is an overall bearish outlook people may still feel this is a good time to buy and the price can start going up again. This has happened a lot lately, specially in the EV ecosystem.
All that said, if this setup plays out I am a buyer around the $55 mark depending on how the price reacts if/when we get there. The textbook way of doing it is to wait a break and close above the top line of the handle but I want to get most of the move so I will buy the $55 support if it holds. If the price continues down I will dollar cost average my way down since I am already in it. If the setup plays out it could take a little while to reach the C&H target, so be patient.
I know that was a lot my dear padawans but I hope you learned something useful for this trade and future trades.
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$NIO on Breakout Watch! Don't Miss It!$NIO gapped up yesterday and is pushing to test previous resistance (57.20) Double Top? Watch price action closely. With CCI up so much, price may turn sideways as it pulls back into the green box (e.g. marked in yellow) If price breaks below yesterday's low of 50.67 and goes under, I will look for a reversal near the $48 zone. Good luck!
NIO = Santas Gift to AllMany get worried when seeing a hype stock like this correct and move sideways as it is now... I on the other hand love times like this. Nio is preparing for a decision, and its direction will quickly be determined with the upcoming price movement as we move toward New Years'.
As we come to a decision point for Nio, we look at a few levels. I'll be watching the $38 level as support and a neckline for a possible head and shoulders pattern. Moving forward, I do believe NIO will hold strong and make its continuation, along with many others in the EV bubble (TSLA, PLUG, FCELL, etc). I think now is a great time to load up on long-term shares and potentially a small position on calls expiring in February or later.
Happy Trading!
DCJ | Happy Holidays
NIO LongNio got beat down with the china news like many other tickers. I think it started forming a base and was holding it friday.
DO NOT enter NIO if money isn't flowing into the EV sector. Follow big money.
Entry: 40.57, 40.51 (golden box)
SL: under 40.09 (.5 fib)
Short term PTs: 47.84, 53.65
Long term: ATH, 59.17-61.86
If u need confirmation wait for a break of the dark green 1/3 trendline and get in on the retest as support
NIO speculative bubble 75.438B Market CapI wrote this article because i am often asked if it is late to invest in Nio.
I was the one who told you that Nio is undervalued at 7.9 usd:
Now i am here to warn you about the potential risk of entering a speculative bubble!
The 75B Market Cap of NIO is higher than Daimler, BMW or Audi.
By the way, Daimler(known as Mercedes) sold in the Q3 772,700 cars while Nio sold in Q3 12,206 EVs in Q3. BMW Group sold 675,680 units in third quarter. Daimler Market cap is 59.909B and BMW is 47.587B. I know that they have the disadvantage to be European producers and not American or Chinese, but their cars are fantastic!
And to be honest, i wouldn`t trade my german BMW for a chinese NIO car!
The indicators are still looking bullish for Nio. This was just a market cap wise warning.
If you are interested to test some amazing BUY and SELL INDICATORS, which give the signal at the beginning of the candle, not at the end of it, just leave me a message.
NIO LONG & SHORT SET UP (TRADE PLAN)Search Results
Featured snippet from the web
J.P. Morgan analyst Nick Lai upgraded the stock of Chinese electric-vehicle maker NIO to Buy from Hold on Wednesday, taking his price target all the way to $40 from $14.
That is double NIO's average price over the past month and nearly double where the stock was trading before the bullish call.
SHORT
TITLE : SELL NIO
ASSETS : STOCK
SYMBOL : NIO
ORDER TYPE : (EP1) Market (1/2) position size (partial low lot entry)
(EP2) SELL LIMIT ORDER (2/2) (Now enter rest of position)
TF : 2DAY
ENTRY PRICE 1: $29.00
ENTRY PRICE 2: $30.50
STOP LOSS : $32.00 (30 PIPs)
TAKE PROFIT 1- $26.00(30PIPs)
TAKE PROFIT 2- $23.00(60 PIPs)
STATUS : ACTIVE
LONG
TITLE : NIO BUY LIMIT
ASSETS : STOCK
SYMBOL : NIO
ORDER TYPE : (EP1) BUY LIMIT (1/2) position size (partial low lot entry)
(EP2) BUY LIMIT ORDER (2/2) (Now enter rest of position)
TF : Week
ENTRY PRICE 1: $22.80
ENTRY PRICE 2: $20.80
STOP LOSS : $17.80 (50PIPS)
TAKE PROFIT 1- $27.80 (50PIPs)
TAKE PROFIT 2- $32.80 (100PIPs)
TAKE PROFIT 3-$37.80 (150 PIPs)
STATUS : PENDING
NIO downside potential after another 7% stock dilutionNIO is gearing up to offer 75 million additional shares in order to raise additional funds.
NIO expects to raise around $1.4 billion through this offering.
If you are interested to test some amazing BUY and SELL INDICATORS, which give the signal at the beginning of the candle, not at the end of it, just leave me a message.
NIOWith all gaps down and NIO way overbought on HTFs I wouldn't be surprised to see NIO dump. With all the stock markets look ready to start crashing down over the next few months NIO could easily hit the daily POC $3.94
