NIO hit the first TP of our trade set up and then violently reversed. We had a SL at 6.99 that got triggered and we took a loss for the rest of the position.
Although we took a loss, we can see how well our levels were respected, and why a SL at 6.99 was key. As soon as we fell below 6.99 we proceeded to fall another +10%, and now we sit at 6.34.
There is no trade set up as of yet, nothing in terms of the technical analysis we preach is suggesting we might reverse. However, this is an idea:
I KNOW IT'S NOT A FORMAL HARMONIC. But the fib extensions line up perfectly and 5.8-5.6$ is a massive area of support - as shown below:
So our plan is to wait and see what we do, it is possible that we spring back above $7, if that happens we will reassess and potentially open a trade there. The more likely event is that we move around between 6-7 dollars for a bit before reaching our 5.8-5.6 pocket where we could react at the 1.618 extension and bounce to $7 which is already a 22% move and a potential entry.
Stay tuned as another opportunity will arise, but it could take a while. BABA is an identical example where we fell below 78 (our stop loss) headed to 70, then back to 78 and now at 69. We stated that we would reconsider if we spring back above 78 (failed) or reach the 60 support (on the way).
It's not been the best of markets so far but we will be ready for the next opportunity with an strong mindset.
Although we took a loss, we can see how well our levels were respected, and why a SL at 6.99 was key. As soon as we fell below 6.99 we proceeded to fall another +10%, and now we sit at 6.34.
There is no trade set up as of yet, nothing in terms of the technical analysis we preach is suggesting we might reverse. However, this is an idea:
I KNOW IT'S NOT A FORMAL HARMONIC. But the fib extensions line up perfectly and 5.8-5.6$ is a massive area of support - as shown below:
Stay tuned as another opportunity will arise, but it could take a while. BABA is an identical example where we fell below 78 (our stop loss) headed to 70, then back to 78 and now at 69. We stated that we would reconsider if we spring back above 78 (failed) or reach the 60 support (on the way).
It's not been the best of markets so far but we will be ready for the next opportunity with an strong mindset.
Comment:
Hit our level today, lets see what happens in the next few days
Comment:
Perfect reaction off our level. Our first position is already up 10%! Great buy for the community!!
Comment:
Loading up on this, above the level we are bullish
