PDD Short Now - Low Risk Entry Points to WatchChinese markets are currently taking a hit and PDD happens to be coming off a new all-time high and bearish divergence.
Bearish divergence on RSI lead to a new high and eventual price break down.
We are currently sitting at the .382 fibonacci retracement level.
Similar scenario in previous cycle (2018-2019) where bearish divergence occurred and eventually had price fall to the .786 fib level which lines up with our major support line.
.786 fib level for current rally lines up perfectly with the major support line as well. This is exciting. Not only with the major support line but it lines up with the .618 fib level of the previous rally mentioned above.
This price level, approximately $22-$23.50 is the mother of all buy zones in my opinion. Now we may not even go that low but if we do I will be pretty confident in longing there.
I will be looking to make more plays in the other targets above as well, but I’ll be buying bigger bags as we reach the lower and lower levels considering the indicators line up at the time.
I will update as we move forward, good luck trading. Cheers!
PDD trade ideas
$PDD Pinduoduo running to all time highs.Pinduoduo (NASDAQ:PDD) soars 11.1% pre-market after Q2 beats with 159% Y/Y revenue growth and GMV growth of 171% to $103.3B for the twelve-month period.
Average MAUs were up 88% to 366M, and active buyers increased 41% to 483M. Annual spending per active buyer was up 92% to $213.80.
Pinduoduo, Inc. operates as a holding company, which engages in the development and management of an e-commerce platform. Its Pinduoduo mobile application offers a selection of merchandise for buyer acquisition and engagement. The company was founded by Hua Lin Cai and Zheng Huang on April 20, 2015 and is headquartered in Shanghai, China.
Trending up PDDLooks like stock is in uptrend. Withstood some tariff talk, risky but maybe an indicator buyers exist for stock. Fib retracement of nearly 50% on 1st wave. Has previously gotten rejected on 200-day MA and has the possibility to do so again. Still looking like upward trend. Chinese stock so trade tensions hold large risk.
PDD on May the 23rdPDD is an example on what could happen when you mess up with your orders and not respect those. Getting into a mental trip regarding the trade, a consideration that was not made prior opening it, thus basically going against your rules!!
www.tradervue.com
Thanks to everyone for checking it out!!