Hello traders and investors! NIO hit our target at $ 50.40 this week, since we set the target at this level, on Jun 14 (link to this analysis below this post, if you are curious).
Now it defeated the $ 50.40 resistance, and today it is doing a pullback to this price again. This follows the Principle of Polarity: Previous resistances/supports are going to work as supports/resistances in the future. This happens because the market has a memory, and some key points are just perfect for the players to set their orders. Just to give you another example, I think this is better seen on WISH, as we discussed about in this analysis:
What’s more, NIO is doing a good reaction above this support, and it is quite close to the 21 ema as well.
In the daily chart, we have a classic Dark Cloud Cover pattern, but as long as it keeps above the $ 50.40, all we can say is that this is just a pullback in the 1h chart. The volume is quite high, though, and if NIO triggers this pattern, it might very well retest the 21 ema in the daily chart.
We have been bullish on NIO for a quite long time now, even when everyone was very pessimistic about it. This DCC is not enough to reverse the bullish bias, but it might indicate some weakness.
Keep in mind that NIO has an open gap at $ 58.65, and this is going to be our next target, if it does any good bullish pattern around.
If you liked this analysis, remember to follow me to keep in touch with my studies, and support this idea if it helped you!
Thank you very much.
Now it defeated the $ 50.40 resistance, and today it is doing a pullback to this price again. This follows the Principle of Polarity: Previous resistances/supports are going to work as supports/resistances in the future. This happens because the market has a memory, and some key points are just perfect for the players to set their orders. Just to give you another example, I think this is better seen on WISH, as we discussed about in this analysis:
What’s more, NIO is doing a good reaction above this support, and it is quite close to the 21 ema as well.
In the daily chart, we have a classic Dark Cloud Cover pattern, but as long as it keeps above the $ 50.40, all we can say is that this is just a pullback in the 1h chart. The volume is quite high, though, and if NIO triggers this pattern, it might very well retest the 21 ema in the daily chart.
We have been bullish on NIO for a quite long time now, even when everyone was very pessimistic about it. This DCC is not enough to reverse the bullish bias, but it might indicate some weakness.
Keep in mind that NIO has an open gap at $ 58.65, and this is going to be our next target, if it does any good bullish pattern around.
If you liked this analysis, remember to follow me to keep in touch with my studies, and support this idea if it helped you!
Thank you very much.
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💲💲 Project 5%: + 104%
🔹 S&P500: +35%
💪 Public track record.
