Even after a 47% retracement from its high, Tencent's uptrend is still intact.
Currently, there is a support/resistance formed at 410 and 510 respectively. We do see a huge volume coming in within this price range yet, the price is still holding. This suggests that there is a huge demand coming in to soak the selling. As long as the price remains above the support level at 410, we can safely say demand is coming in and the chances for price rebounding is high.
However, before the price proceeds higher, there will most likely be a prolonged consolidation period to exhaust the sellers. Hence, if you plan to buy in during this period, ensure that you have holding power. Or...
You can wait for the consolidation to happens and then buy the breakout above 510.
Show price drop below 410, we are in a deep bear territory and we should not be holding any longer.
Currently, there is a support/resistance formed at 410 and 510 respectively. We do see a huge volume coming in within this price range yet, the price is still holding. This suggests that there is a huge demand coming in to soak the selling. As long as the price remains above the support level at 410, we can safely say demand is coming in and the chances for price rebounding is high.
However, before the price proceeds higher, there will most likely be a prolonged consolidation period to exhaust the sellers. Hence, if you plan to buy in during this period, ensure that you have holding power. Or...
You can wait for the consolidation to happens and then buy the breakout above 510.
Show price drop below 410, we are in a deep bear territory and we should not be holding any longer.