Hi all,
my previous chart on Vestas Wind Systems didn't quite go to plan. The stock price has just been ladderring down since it's 8th of January ATHs @1605 DKK, and I've gladly been picking up more shares on the cyclical troughs.
Now
VWS
is really looking for a turnaround. Some positives:
- We are finally sitting at a very strong support range @~1160 DKK, which is our first real support after this crashed through 1286 DKK;
- Price is approaching our long-term uptrend support, which hasn't failed since beginning in March 2020. If this support holds this could be a strong pop to the upside out of the multi-month Wedge formation;
- We can see what appears to be a Hammer candlestick in yesterday's close.
Some potential counterarguments to keep in mind:
- Moving Average positioning is significantly Bearish, and previous "breakout" proved to be a Bull trap, finding strong resistance on the 50-day Moving Average;
- There is a small gap which VWS might look to fill @~1100 DKK;
- RSI really need to improve, as it is currently at it's lowest in months but hasn't reached oversold territory, despite a ~27% drop from ATHs.
I already have a significant position in this name, would love to see this rally ~40% back to ATHs over the coming months - VWS sure is capable of it, and the company's push in offshore wind (which in my opinion will be a massive growth industry in the coming years) really gives me confidence in the Long Term.
Would love to hear your thoughts!
VWS
(*This is not financial advice, for sake of discussion and illustrative purposes only*)
my previous chart on Vestas Wind Systems didn't quite go to plan. The stock price has just been ladderring down since it's 8th of January ATHs @1605 DKK, and I've gladly been picking up more shares on the cyclical troughs.
Now
VWS
is really looking for a turnaround. Some positives: - We are finally sitting at a very strong support range @~1160 DKK, which is our first real support after this crashed through 1286 DKK;
- Price is approaching our long-term uptrend support, which hasn't failed since beginning in March 2020. If this support holds this could be a strong pop to the upside out of the multi-month Wedge formation;
- We can see what appears to be a Hammer candlestick in yesterday's close.
Some potential counterarguments to keep in mind:
- Moving Average positioning is significantly Bearish, and previous "breakout" proved to be a Bull trap, finding strong resistance on the 50-day Moving Average;
- There is a small gap which VWS might look to fill @~1100 DKK;
- RSI really need to improve, as it is currently at it's lowest in months but hasn't reached oversold territory, despite a ~27% drop from ATHs.
I already have a significant position in this name, would love to see this rally ~40% back to ATHs over the coming months - VWS sure is capable of it, and the company's push in offshore wind (which in my opinion will be a massive growth industry in the coming years) really gives me confidence in the Long Term.
Would love to hear your thoughts!
VWS
(*This is not financial advice, for sake of discussion and illustrative purposes only*)
Comment:
Watching closely to see if this finds support @1130 DKK and the long-term uptrend
Comment:
As expected, this found great support @1300 DKK, aligning perfectly with the long-term uptrend.
Will be looking for strength tomorrow and through monday, if possible up above the wedge, looking for a breakout.
Will be looking for strength tomorrow and through monday, if possible up above the wedge, looking for a breakout.
Comment:
This week is key for VWS, and fortunately it has started well and the long term uptrend is still intact.
If it breaks @1300 DKK to the downside, we can see further retracement to @999 DKK, not much support before this level.
If it breaks @1300 DKK to the downside, we can see further retracement to @999 DKK, not much support before this level.