A very strong day for NIO Inc. stock price on Monday

The NIO Inc. stock price gained 6.53% on the last trading day (Monday, 28th Mar 2022), rising from $19.91 to $21.21. During the day the stock fluctuated 4.48% from a day low at $20.32 to a day high of $21.23. The price has risen in 8 of the last 10 days and is up by 50.43% over the past 2 weeks. Volume fell on the last day by -106 million shares and in total, 0 shares were bought and sold for approximately $0 . You should take into consideration that falling volume on higher prices causes divergence and may be an early warning about possible changes over the next couple of days.

On Feb 16, 2022 "CLSA" gave "$60.00 - $35.00" rating for NIO. The price target was changed from $25.61 to 0.7%.

The stock lies the upper part of a very wide and falling trend in the short term, and this may normally pose a very good selling opportunity for the short-term trader as reaction back towards the lower part of the trend can be expected. A break up at the top trend line at $21.54 will firstly indicate a slower falling rate, but may be the first sign of a trend shift.Given the current short-term trend, the stock is expected to fall -38.36% during the next 3 months and, with a 90% probability hold a price between $7.34 and $13.28 at the end of this 3-month period. Do note, that if the stock price manages to stay at current levels or higher, our prediction target will start to change positively over the next few days as the conditions for the current predictions will be broken.

The NIO Inc. stock holds buy signals from both short and long-term moving averages giving a positive forecast for the stock, but the stock has a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections down, there will be some support from the lines at $21.12 and $21.18. A breakdown below any of these levels will issue sell signals. A buy signal was issued from a pivot bottom point on Friday, March 25, 2022, and so far it has risen 6.53%. Further rise is indicated until a new top pivot has been found. Furthermore, there is a buy signal from the 3 month Moving Average Convergence Divergence (MACD). Some negative signals were issued as well, and these may have some influence on the near short-term development. Volume fell during the last trading day while the price increased. This causes a divergence and may be considered as an early warning, but it may not be. The very low volume increases the risk and reduces the other technical signals issued.

NIO Inc. finds support from accumulated volume at $20.86 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.

In general the stock tends to have very controlled movements and therefore the general risk is considered very low. However, be aware of low or falling volume and make sure to keep an eye on the stock During the last day, the stock moved $0.91 between high and low, or 4.48%. For the last week the stock has had a daily average volatility of 6.84%

Several short-term signals are positive, despite the stock being in a falling trend, we conclude that the current level may hold a buying opportunity as there is a fair chance for stock to perform well in the short-term. We have upgraded our analysis conclusion for this stock since the last evaluation from a Strong Sell to a Buy candidate.