The Idea of Zoom Video Communication - Trend Analysis
We know the Zoom Video Communications Inc was a hot topic in the NASDAQ last weeks, while the COVID-19 is continuously outbreaking around the world, will Zoom be a strong bull trend stock in this year? My thought and analysis at below:
When we talk about the stock that has a strong trend in the stock market, it must come with good fundamental performance, it may also a theme currently. The Zoom from NASDAQ is a hot choice that you should put into your watchlist.
In the technical perspective, we can see the weird M formation from the daily chart, and then the share price was dropped at the supporting level of EMA 25 and 50. As a strong trend stock, it can be expected to retrace to the necklines and will have a correction formation in the box that I drew, but not be expected to drop under below the EMA 50. On the other hand, the stochastic indicator was showed 41.63 numbers and it reached a supporting area also (Grey Rectangle Area), it may a good signal if you understand stochastic indicator. Theoretically saying, the poor momentum buying should not be happened in a strong bull trend stock, so I may seek it as a long opportunity or accumulated stage for trading. You may also wait for the price action to tell the suitable entry time and price.
In my last opinion, I suggest investor and trader do some homework to understanding trend analysis on the themed company and research the current situation of COVID-19, what it can affect towards the stock market and certain listed company like Zoom, Netflix that may benefit. The recent news said the school should not use the Zoom as an online teaching tool due to its privacy disclosure but I think that still has a big demand at this moment.
Check it out for more news on Zoom:
https://edition.cnn.com/2020/04/04/us/nyc-schools-zoom-online-security/index.html
https://www.nasdaq.com/articles/if-youve-got-%245000-buy-these-five-top-stocks-right-now-2020-03-24
Please drop a like and comment below what is your opinion on Zoom!
When we talk about the stock that has a strong trend in the stock market, it must come with good fundamental performance, it may also a theme currently. The Zoom from NASDAQ is a hot choice that you should put into your watchlist.
In the technical perspective, we can see the weird M formation from the daily chart, and then the share price was dropped at the supporting level of EMA 25 and 50. As a strong trend stock, it can be expected to retrace to the necklines and will have a correction formation in the box that I drew, but not be expected to drop under below the EMA 50. On the other hand, the stochastic indicator was showed 41.63 numbers and it reached a supporting area also (Grey Rectangle Area), it may a good signal if you understand stochastic indicator. Theoretically saying, the poor momentum buying should not be happened in a strong bull trend stock, so I may seek it as a long opportunity or accumulated stage for trading. You may also wait for the price action to tell the suitable entry time and price.
In my last opinion, I suggest investor and trader do some homework to understanding trend analysis on the themed company and research the current situation of COVID-19, what it can affect towards the stock market and certain listed company like Zoom, Netflix that may benefit. The recent news said the school should not use the Zoom as an online teaching tool due to its privacy disclosure but I think that still has a big demand at this moment.
Check it out for more news on Zoom:
https://edition.cnn.com/2020/04/04/us/nyc-schools-zoom-online-security/index.html
https://www.nasdaq.com/articles/if-youve-got-%245000-buy-these-five-top-stocks-right-now-2020-03-24
Please drop a like and comment below what is your opinion on Zoom!