Buyers beware! We have strong reasons for a significant plunge on Z1P. After doing an impressive 5x in 2019, it looks like the party may come to an end for the bulls.
Reasons for the trade:
Potential Head and shoulders forming
VPVR - Above value. POC @ $1.10
VPVR - Could drive a truck through that 69% gap in volume
Money moves towards liquidity....
Zip Pay to close above or below the 200 moving average tomorrow?
Currently, the MACD, RSI and DMI, moving averages doesn't look good for Zip Pay.
Therefore, more likely to go lower using technical analysis.
Ill be watching closely how Z1P reacts tomorrow. It is sitting on support and also at the bottom of the Linear Regression on the daily.
On the 4hrly it is sitting on the 200MA. If Linear Regression breaks on daily and 200MA on 4hrly we have broken trend and will go down much lower.
If we have a nice bounce we should continue the upward trend.
Recent reports from UBS may have contributed to the 20% crash in mid October allowing for a perfect buying opportunity. This position should probably be held for less than 3 months as the RBA is set to reform laws around the BNPL market.
Did well with my short play on Z1P, gap up nicely then fail to pass $5.37. Got in at $5.34 with a stop at $5.39 with 1,500 shares. Reduce my position at 1 R by 30% then got out the rest at $5.26, quick scalp play to the downside.
I like to calculate the stocks Standard Deviation of 1 year data, hence why $5.37 is a key level.
Z1P is well over extended from its previous close, touch new time high of $5.19. If it gaps up past 5.37 or gaps down 4.96, these are my shorting ranges, if its moves higher then it gives me more reason to short it. looking for a quick scalp :)
With Zippay's current trajectory things are looking good for the next 3 months. I could only speculate a likely range of -10% - +25% within this period. The company recently launched in New Zealand which opens up the company to a new range of consumers/users. However, I don't believe that the company will grow any further than Oceania in this 3 month period, maybe...
On the 20th of May we saw Z1P getting absolutely munted. Could this happen again? Averages present the fact that we could see a shorting opportunity but within the next month we could see another significant increase.
Just be aware guys that my usrname is losing money for a reason. Don't go by my word at all im literally a noob at trading with zero rep. feedback...
Z1P looks like it is having a pause here at its support, i still feel we will continue down to the trend line at least before continuing up again. As you all know im very bullish on Z1P long term, this is not a bad thing to see this parabolic come back to reality a bit.
In my humble opinion we have entered a parabolic section on Z1P. looking at exiting at $1.535 for a few reason with a pull back to the 61.8% level!
Bump run on the longer term and on the intraday right now which is giving us a good exit signal, including MASSIVE BEAR DIV. on the RSI
All of these signals make it to tantalizing to pass up!
looking at an take...
I would be looking to enter around 1.02 (laddering in from 1.03)
Stop loss @ 0.97 (or even @ 0.98 for a tighter stop)
Profit Targets: 1.13, 1.16, 1.19, 1.22, 1.235
If price breaks below 0.95 I would not want to be in z1p for the short term.
**DO YOUR OWN RESEARCH**