Nio Was the Next Tesla. Is This Stock the Next Nio?Electric cars have been one of the most explosive industry groups in recent memory, and now traders may have another name to focus on: smart-vehicle maker XPeng.
Several patterns stand out on the Guangzhou-based company’s chart. First, prices recently tested and held the $37.50 area. That was support in late December and resistance in March and April. It’s also near the 200-day simple moving average (SMA).
Second, notice how the 50-day SMA is on the verge of crossing up and through the 200-day SMA. A “golden cross” could be coming.
Third, stochastics are rebounding from an oversold condition.
The fundamentals are also potentially positive, with deliveries up more than 600 percent last month. (The sequential gain also increased from 10 percent in May to 15 percent in June.) Additionally, the company successfully priced an initial public offering in Hong Kong, which removes some potential uncertainty.
In conclusion, we spotted the breakout potential in Tesla in late 2019 . We noted early last year how Nio could be the next Tesla . Now the big question is whether XPEV could be the next NIO?
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