BIDU: ICHIMOKU LONG SWING TRADEBIDU :
Baidu is back above the long term trend line that was supporting the price for a long time.
The last candle has also reintegrated the cloud and the lagging span broke the kinjun and tenkan.
All the above indicate a potential bullish trend reversal .
I'm now switching from bearish to neutral/bullish.
Good enough for me to initiate a long swing trade .
All targets and resistances are on the chart.
Note that BABA has a very similar chart.
Trade safe.
BIDU trade ideas
Buy opportunity at $150. PT $480Buying zone between $219 (0.5 retracement) and $122.88 (0.854 retracement of the first impulse).
Looking at the RSI trajectory and the MACD bearish signal in the weekly we are likely to cross the 200 EMA to $147.35 (0.764 retracement), a zone that has been acting as support and resistance for the past few months.
Baidu closed the second retracement of the supercycle in March 2020. Currently consolidating the second wave of the third impulse, which will be the largest, with a target of between $483.5 (1.618 extension) and $562.88 (2 extension) if the bottom of the second wave is confirmed at $147.35.
In the event that the bottom of the second wave is at the 0.5 retracement (where we are now), targets would be between $458.37 (1.68) and $522.22 (2).
Overview :
First buy order (25% of the position) at $190.
Second buy order (75% of the position) at $150
Sell orders (depending on the last bottom): between $455 and $562 in the beginning of 2023.
+50% annualized profit .
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Comment with your opinions. Any idea is appreciated.
Manage risk properly and don't invest more than you can afford.
BIDU - $140s or $270s? I re-entered with a BIDU position few days ago, but I feel there's a possibility the weakness could continue.
I believe the stock should be able to hold it's $170s low next week, but based on time cycles it's weak zone continues next week until first week June. If that $170 support zone breaks due to any China related news or general market sell off, BIDU may be a crazy price to average in at $145 range (the yellow 500 MA)
Either ways, I feel BIDU is a good buy here if you're okay to hold your swing for a few months. My price target is for BIDU to retest at least $270 before end of 2021 (I expect this to happen more likely before September)
Good luck!