{"id":7596,"date":"2020-08-28T09:09:13","date_gmt":"2020-08-28T13:09:13","guid":{"rendered":"https:\/\/morpheustrading.com\/blog\/?p=7596"},"modified":"2022-04-06T15:04:56","modified_gmt":"2022-04-06T19:04:56","slug":"ev-nio-breakout","status":"publish","type":"post","link":"https:\/\/morpheustrading.com\/blog\/ev-nio-breakout\/","title":{"rendered":"How We Found $NIO Before It Exploded +40% Higher This Week"},"content":{"rendered":"\n
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The Electric Vehicle sector has been surging higher, pushing Chinese EV manufacturer Nio ($NIO) to a +40% gain this week alone. Here’s how we found this hot stock–before<\/em> its recent breakout to new highs.<\/h2>\n\n\n\n

In late 2018, a Chinese electric auto manufacturer named Nio ($NIO)<\/a> launched an IPO in the US stock market. <\/p>\n\n\n\n

The initial response of that public offering was not well received, causing the stock to lose 90% of its value in 12 months.<\/p>\n\n\n\n

But thanks to the amazing performance of Tesla ($TSLA) stock<\/a>, other select stocks in the electric vehicle (EV) sector have started heating up as well.<\/p>\n\n\n\n

After building a five-month base of support, $NIO cleared resistance of a twenty-month downtrend and blasted off in June 2020.<\/p>\n\n\n\n

Since that breakout just three months ago, $NIO has soared more than 300%–including a gain of more than 40% over the past week alone.<\/p>\n\n\n\n

In the August 24 issue of The Wagner Daily<\/strong><\/em><\/a>, our flagship swing trading report, we listed $NIO as a potential buy entry above the $14.75 level. <\/p>\n\n\n\n

Nio triggered that buy entry the same day, then broke out and rocketed to new highs the next day. <\/p>\n\n\n\n

As of the August 27 close, $NIO is already showing an unrealized gain of +36% since subscribers were alerted on Monday.<\/p>\n\n\n\n

Continue reading to discover exactly why we bought Nio when we did, then use that knowledge to profit from the next big mover that sets up in a similar way.<\/p>\n\n\n\n

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Why we bought $NIO (just in time for a +40% move)<\/h3>\n\n\n\n

In a bull market rally, the strength of leading stocks often spreads to other stocks in the same industry sector–especially when the stock belongs to a strong industry group. <\/p>\n\n\n\n

Although $NIO had already massively rallied off its post-IPO lows by July 2020, the Chinese EV stock subsequently formed a bullish, six-week-long base of consolidation. The rising 20-day exponential moving average provided support while the base was forming.<\/p>\n\n\n\n

We also liked that $NIO is part of the Auto Manufacturing sector, which (thanks to Tesla) was ranked #1 out of the 197 industry groups<\/a> tracked by Investors Business Daily<\/em>. <\/p>\n\n\n\n

As for the specific entry point, the second series of tight price action (just below the swing highs from August 18 and 21) really caught our attention. <\/p>\n\n\n\n

We then listed $NIO as a potential buy entry above the $14.75 level in Sunday night’s (August 24) swing trading report.<\/p>\n\n\n\n

The Nio trade setup and breakout that followed is annotated on the daily chart below:<\/p>\n\n\n\n

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When Nio broke out to new highs on August 25, notice that volume surged to more than double its average daily level. <\/p>\n\n\n\n

This was followed by an even higher volume day when $NIO continued rocketing higher the next day.<\/p>\n\n\n\n

Although Nio may need a little time to consolidate and digest its recent gains in the near-term, remember that strength leads to more strength.<\/em> <\/p>\n\n\n\n

If recent bullish accumulation continues, $NIO could be just getting started–though it still has quite a way to catch up to market-leading Tesla. \ud83d\ude09<\/p>\n\n\n\n

Don’t miss out on the next monster mover in this hot bull market! <\/em>Sign up now<\/em><\/a><\/strong> for The Wagner Daily to be instantly alerted to the best swing trade setups in the market every day.<\/em> <\/p>\n\n\n\n\n","protected":false},"excerpt":{"rendered":"

The Electric Vehicle sector has been surging higher, pushing Chinese EV manufacturer Nio ($NIO) to a +40% gain this week alone. Here’s how we found this hot stock–before its recent breakout to new highs. In late 2018, a Chinese electric auto manufacturer named Nio ($NIO) launched an IPO in the US stock market. The initial […]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":"","_links_to":"","_links_to_target":""},"categories":[3],"tags":[],"class_list":["post-7596","post","type-post","status-publish","format-standard","hentry","category-stock-trading-strategy"],"_links":{"self":[{"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/posts\/7596","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/comments?post=7596"}],"version-history":[{"count":5,"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/posts\/7596\/revisions"}],"predecessor-version":[{"id":7614,"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/posts\/7596\/revisions\/7614"}],"wp:attachment":[{"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/media?parent=7596"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/categories?post=7596"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/morpheustrading.com\/blog\/wp-json\/wp\/v2\/tags?post=7596"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}