VOW3 trade ideas
VOW3 in the final stages of a correctionThe criteria for a full pullback has been met:
ABC Zigzag
3 waves down on wave C
Divergence on the end of wave C
50% retracement from wave 2
100% extension on waves A-B
I expect a rebound from the yellow area, and will enter a trade after minor waves 1-2 are formed and broken.
Volkswagen after the hypeVolkswagen E-Mobility is stil valid even after the hype.
Now, the hype cooled down, which makes it possible to start with investement in Volkswagen again. New highs possible in the next month, but with a slower pace than in the past. It is possible that we see a sideward walk now.
Volkswagen still pushes its stock price... A breakout is also possible.
Entry planned for next week...
Electric vehicle (EV) stocks cool - will Volkswagen rise?EV stocks compared to Volkswagen - Nio, Tesla, Li Auto, Workhorse Group, Kandi Technologies, Arcimoto, BYD
Volkswagen recently drew attention with its plans to compete in the EV market, and investors bought into the news. Look at a 2021 daily chart, and it is striking that seven popular EV stocks are all negative for the year. These stocks made sky-high gains in 2020, so this recent "cooling off" makes sense. Volkswagen is a newcomer in the EV market, yet it is an established global brand.
Most people agree that EV companies have high growth potential, but investors should check prices before buying. This chart shows price performance over the past 12 months, and after this year's selling most EV stocks still have sky-high gains. Technically, looking at individual stocks, some are at support and others have room to drop. The next earnings reports will provide a reality check, and here are some questions to consider:
Did these companies make significant progress, revenue increase, or earnings growth, to warrant such dramatic stock price increases? Did investor sentiment and global stimulus money lead to "follow the crowd" buying? Will EV stocks head lower in 2021 if interest rates rise? How do the P/E ratios and EV/EBITDA ratios compare? Will sentiment lead Volkswagen to outperform other EV stocks this year? Will Volkswagen be a top EV stock over the next five years?
Notes:
* All companies directly produce EV's
* Warren Buffet has a stake in BYD
* Scale is based on U.S. Dollar price change
Sell spread Ordinary / Preferred share in Volkswagen at 70 euroVOW 3 is the Preferred Share and trades at 70 euro below the Ordinary Share VOW.
The average spread is 20 euro. During the big short in October 2008 the spread exploded to nearly 700 euro at its peak. After 4 days, the spread traded at 250 euro and after a year at 20 euro.
VOW 3 is the most liquid stock.
On 8 March the spread started to increase .
Tighter liquidity is one of the reasons why the spread increased as interest in EV is growing fast.
Another reason is that the ticker VOW is the first to appear on the search tools on many trading platforms when typing Volkswagen.
As Volkswagen is not traded only by retail traders but by many pros in the financial sector, this increase in the spread should be short lived.
VWAGY Volkswagen a real Tesla competitorIf you haven`t bought the dip of my first idea, at $141:
Or you haven`t seen the sales comparison of these giants:
Then you should know that Volkswagen could surpass Tesla in electric-car sales as soon as next year.
If the market were to apply multiples similar to Tesla and Nio Inc. to VW’s battery-electric vehicle business, it would be worth about 195 billion euros ($230 billion), more than all of the company is worth now, analysts led by Tim Rokossa wrote in a report Monday. They lifted their price target for VW shares by 46% to 270 euros. (bloomberg.com)
The indicators are bullish on all timeframes!
If you are also interested to test some amazing BUY and SELL INDICATORS that i use, which give the signal at the beginning of the candle, not at the end of it, just leave me a message.
VWAGY - $80 I will be honest, I lost my patience waiting for this pop and locked in 20% gains around $25 instead of 100%. Still think there is a chance to hit $60-90 if momentum continues unless we get a classic Eiffel Tower set up. I am not playing it as there are better set ups for me to play.
Recent VWAGY news and aggressive pursuit of EV market share only added to the technical set up that told us back in January it was a runner. Didn't even need a catalyst to make it run but seems like it sped up the process.
Whoever held on to this rocket ship - congrats. If you a paper hands like me congrats anyways as this was a "not possible" to loose trade. A lot of times you get into something and it dips before it takes off, not this one. Tape was clean and didn't do any fake out moves, didnt have any bull traps even during March sell off.
OVERALL LONG - FACTORY ROOF CYCLES - VOLKSWAGEN AG - VWAGY - 1HThank you for your likes and shares! Really appreciated!
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VWAGY stock price shows interesting patterns. Here we will focus on them rather than volumes.
The grey square gives you an overview of the probable overall behave of this stock price. Think at the "roof of a factory" as an image. Goes up slowly for long time, then suddenly falls in a very steep angle.
Beware: Probably with this stock the volumes doesn't really reflect in the price action. We have noticed recently some huge volumes but no real movement in price.
Overall, even if we might notice a retreat, the price has possibly entered in a "long" direction cycle again. The target is the top red line.
Under the actual price, the green line shows the potential realistic uptrend, therefore, the probable best place to enter from for a long direction investment. Is is a strong line, so if it breaks, probably people holding losing positions could use the blue line as an exit point.