We are breaking the support at 45.24, meaning, we might see NIO at 43.89 next. We must see a very good and surprising reaction on NIO right now, to invalidate this thesis.
We are under the 20ma, but the Bollinger Bands are still tight, so, there’s still a chance we’ll see something incredible. We just can’t count too much on that.
The RSI has an advanced breakdown, and this is another point in favor of our thesis. The 43.89 will be a breakpoint for NIO, because it is the neckline of this head and shoulders pattern!
If NIO triggers this pattern, then the stock will have some problems. But if we see a good reaction around the 43.89, as crazy as this could sound to some people, we will see a buy sign. How will NIO behave from here? No one knows, but I’ll keep you guys informed.
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Looking only at the charts and not reading any news or fundaments yet, I personally feel this will go down. CCI, RSI, VTX, & Full Stoch are trending slightly downward and price is below SMA 7. On the positive side, the Slow Stoch is turning upward while Williams is simply cruising sideways. Volume is down since the 18th. I agree with you that this is a Bearish pattern.
themrchris41
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@RAC52, Yump , you are correct...it will slide down to $55 or so next week...probably go back up to $45 in the middle of July before sliding back down to $60 by the end of July....but ...I still will not sell the dips!
UnknownUnicorn21312077
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@RAC52, Yes, the problem is that the pattern wasn't triggered... For now, I'll be on the sidelines.
Thanks for your support!
RAC52
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@Melissa_Amana, Well, I sure called this wrong! Went from $45 to $54, a 20% increase !