NUBANK -
NU
A beautiful case of Technical Analysis providing all the structures for a winning trade. First shared this idea earlier in the year. It was just an idea....now we are almost 100% up.
Surpassed 90% return on this trade since taking up positions in June 2022 and again in Jan 2023.
I sold a portion in Aug 2023 with a breach of the 21 day SMA and reentered slightly lower with a stop.
We then reclaimed the 21 day and started moving towards the target.
What's beautiful about this trade is the following:
1. We had a double bottom
2. We then had a parallel channel breakout with a target that aligned with the 1.618 fib extension.
3. As things progressed we identified a 5 wave Elliot count.
Now we have clear incoming targets at $9.04 and $10.17. We will use the RSI oversold timeframes from the past to help identify when we need to watch the chart carefully (red area) and we also know we can rely on the 21 day SMA as a trigger sell.
All the hard work is done here on this trade. We just need to ensure we sell some of our position or all of it if it breaks down. Typically after a 5 wave count you get an ABC style correction. With the TA being perfect on this chart to date, it would not surprise me to see a good correction when this wave 5 completes. All the same, we remain in a winning trade and stay on trend until the trend changes.
I almost forgot to mention earnings are released next Tuesday 14th November , so we will need to keep an eye then too.
NU
PUKA
NU
A beautiful case of Technical Analysis providing all the structures for a winning trade. First shared this idea earlier in the year. It was just an idea....now we are almost 100% up.
Surpassed 90% return on this trade since taking up positions in June 2022 and again in Jan 2023.
I sold a portion in Aug 2023 with a breach of the 21 day SMA and reentered slightly lower with a stop.
We then reclaimed the 21 day and started moving towards the target.
What's beautiful about this trade is the following:
1. We had a double bottom
2. We then had a parallel channel breakout with a target that aligned with the 1.618 fib extension.
3. As things progressed we identified a 5 wave Elliot count.
Now we have clear incoming targets at $9.04 and $10.17. We will use the RSI oversold timeframes from the past to help identify when we need to watch the chart carefully (red area) and we also know we can rely on the 21 day SMA as a trigger sell.
All the hard work is done here on this trade. We just need to ensure we sell some of our position or all of it if it breaks down. Typically after a 5 wave count you get an ABC style correction. With the TA being perfect on this chart to date, it would not surprise me to see a good correction when this wave 5 completes. All the same, we remain in a winning trade and stay on trend until the trend changes.
I almost forgot to mention earnings are released next Tuesday 14th November , so we will need to keep an eye then too.
NU
PUKA
Comment:
Updated Chart shared today
