A double top has led price down a bearish road
I have plotted a Fibonacci trend and .236 shows promise for a recovery due to the large support cluster that can be seen around this area
This will continue the uptrend on a higher timeframes
Text book model of a 11.5 week flat base + base failure reset(constructive shakeout) + VCP with 3Contractions and massive volume dry up before the breakout and massive volume on the breakout.
The PEAD projected a Bullish outlook for $MELI after a Positive over reaction following its earnings release placing the stock in drift B with an expected accuracy of 66.67%.
The South American giant of e-commerce and Argentine Fintech Mercado Libre, is still looking for a floor to return to its historical highs.
· In mid-March 2020, this upward trend began, accompanied by a GAP of almost 20%. After results were presented; which were not as expected, but there was a large increase in year-on-year sales.
· This boost would reach...
MecardoLibre
Medium Term
We look to Sell at 692.89 (stop at 756.88)
Preferred trade is to sell into rallies. The medium term bias remains bearish. A Fibonacci confluence area is located at 438.30. Previous support located at 430.00. There is scope for mild buying at the open but gains should be limited.
Our profit targets will be 444.73 and 372.00...
The PEAD projected a Bullish outlook for $MELI after a Positive over reaction following its earnings release placing the stock in drift B with an expected accuracy of 62.5%.
MELI - Short Term - We look to Sell at 1175 (stop at 1233)
Preferred trade is to sell into rallies. 20 1week EMA is at 1177. The bias is still for lower levels and we look for any gains to be limited. Previous resistance located at 1150. Further downside is expected and we prefer to set shorts in early trade.
Our profit targets will be 953 and 890
...
MELI - Short Term - We look to Sell at 1166.70 (stop at 1241.12)
Preferred trade is to sell into rallies. Closed below the 50-day EMA. Posted a Bearish Shooting Star formation. Previous resistance located at 1150.00. Further downside is expected and we prefer to set shorts in early trade.
Our profit targets will be 974.38 and 914.10
Resistance: 1150.00 /...
Short MELI CMP $1085.36. This one is clear downtrend. Appears to be double bottom pattern but price will continue to fall to $900 area as per analysis. Trading below all major moving averages. No signs of buyer stepping in. MACD turned negative recently. Short target of $900 area coming soon which is also 200 SMA level on weekly chart.
this is a no brainer buy the pullback
huge news today about crypto asset wallet support, but price is down with the rest of the markets
revisit of the $2000 area looks good for next year summer-fall 2022
So do you believe that Meli is going to drop to the spot (X)? I don't want to see it, but this looks like a double top mountain to me. I have been reading up a little on Meli and like AMZN, BABA... i think that it's worthwhile finding a strategy to get into a long term play that works. In the meantime... I will play a put here and there if I can catch it.
Could easily sell off more, but I opened a $80 March spread on Friday at $35.5 (44%).
Option execution somewhat expensive but I like the risk reward.
Wanted to add risk prior to upcoming earnings releases early February.
Also took long call positions in $OKTA, $NTNX and $GOOGL
NASDAQ:MELI
Short NASDAQ:MELI
Classic Double Top Paired with bad company fundamentals ie NASDAQ:AMZN is gonna beat them out...
Its simple.... short it... that's all
MercadoLibre - Latin Americas biggest Supermarket chain. Was getting battered for a while, but the bottom may have just come in - up almost 6% on the day and clear Divergence visible
Good Luck!
MELI - Short Term - We look to Sell at 1290.00 (stop at 1392.00)
Posted a Double Top formation. Closed below the 20-day EMA. Trading volume is increasing. Our overall sentiment remains bearish looking for lower levels. Further downside is expected and we prefer to set shorts in early trade.
Our profit targets will be 959.00 and 763.00
Resistance: 1300.00...
