The Wyckoff accumulation pattern offers valuable insights into potential market reversals and breakouts. This case suggests that "Big Money" might be quietly accumulating shares in preparation for a NIO run.
Evidence of Accumulation:
March 2022: Large buying volume shows the initial accumulation.
October 2022: The subsequent selling climax further confirms accumulation.
Trading range: The current sideways price action suggests the market is consolidating before a breakout. During this consolidation, there is more volume along the upswing vs the downswing.
The current price behavior closely resembles the spring phase of the Wyckoff accumulation pattern. This phase represents "Big Money's" final attempt to acquire shares at lower prices before initiating the long-term uptrend.
Strong support exists as low as $5, offering a potential buying opportunity.
In the event of successful accumulation, a price target of $22 seems reasonable.
Patience is key, as the accumulation process can last for months. I suspect we have a few months to start the breakout.
While the Wyckoff accumulation pattern suggests a potential long-term uptrend, due diligence and comprehensive market analysis are crucial before making any investment decisions.
Evidence of Accumulation:
March 2022: Large buying volume shows the initial accumulation.
October 2022: The subsequent selling climax further confirms accumulation.
Trading range: The current sideways price action suggests the market is consolidating before a breakout. During this consolidation, there is more volume along the upswing vs the downswing.
The current price behavior closely resembles the spring phase of the Wyckoff accumulation pattern. This phase represents "Big Money's" final attempt to acquire shares at lower prices before initiating the long-term uptrend.
Strong support exists as low as $5, offering a potential buying opportunity.
In the event of successful accumulation, a price target of $22 seems reasonable.
Patience is key, as the accumulation process can last for months. I suspect we have a few months to start the breakout.
While the Wyckoff accumulation pattern suggests a potential long-term uptrend, due diligence and comprehensive market analysis are crucial before making any investment decisions.