Sell signal · week 23 · bounce capped by the averages
NIO bounces 6.2% off a fresh 30-week low, with the 20-day average still capping it
Our view last week
NIO's weekly RSI slips to 29.7, into oversold territory, while the ADX rises for a 6th straight week: the decline is gaining conviction right where traders usually start looking for a bounce. Last week the price was sitting just above its 30-day low; this week it left that low behind with a 5.9% drop. Our technical analysis of NIO stock shows the price action still in distribution, and the short is now more than 42% in profit.
This week's summary
NIO printed a fresh 30-week low, in the 3.36 area, and climbed back from there: the week closes up 6.2% after 6 straight declines, and the break lower goes unconfirmed at the close. A week ago the weekly RSI had slipped into oversold; it is now back at 34.2, while the ADX rises for a 7th week. Our technical analysis of NIO stock stays bearish, though: price action is in distribution and the bounce stalled under the 20-day average. The short is more than 38% in profit.
IQS Phase
68
in tension
Signal Strength
15
decline losing steam
Sizing
MINIMUM
Ranking
#92 / 174
US stocks
Trade P&L %
+38.80%
from signal to date, no stop loss
Rank position
ranks 92nd among the 174 sell signals for US stocks in our ranking, with a signal strength of 15 out of 100.
Sector context
SectorConsumer Discretionary
Benchmark ETFXLY
Sector regimein positive regime
Performanceweekly +2.55% · monthly +0.35%
NIO belongs to the consumer discretionary sector (reference ETF XLY). The sector is classified in positive regime according to our weekly reading.
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