*Not investment advice or recommendation.*
IONQ Bullish "Investment Grade" Trade Setup:
Multi-timeframe analysis and reliable indicators like ADX & RSI point towards the *potential* for a strong upside move for IONQ and other similar quantum computing stocks like QUBT & RGTI.
MONTHLY TIMEFRAME:
The ADX shows the monthly timeframe bullish trend is extremely strong and has integrity. This is step number 1 and suggests that looking for entry on the Weekly chart is a worthwhile pursuit. We also see the 2 & 4 year SMA's sloping upwards, indicating the path of least resistance on this timeframe is higher.
WEEKLY TIMEFRAME:
The pullback that has occurred since October has seen a declining ADX on the weekly timeframe, implying weak seller integrity. This is a classic combination where the HTF (Monthly) ADX is very strong, and the pullback on the entry timeframe (Weekly) is weak. We have a very strong trend on the HTF, weak conviction from Sellers on the entry timeframe. This gives us the green light to look for resumption of bullish momentum to get long.
Last week the 5 week RSI closed above 50, and we took out last weeks high today, implying the bullish momentum has resumed and is in alignment with the strong monthly trend. A further confluence is the Buyers stepping in at the rising 200 day SMA, creating higher lows on the weekly chart, and we see the 50 day starting to flatten/rise in alignment with the rising 100 & 200 day SMA's, suggesting the "path of least resistance" is higher.
My entry is 52.46 with a stop below January lows @ 43.80. This is a wide stop as this is an "investment" style swing trade, which I anticipate holding for several weeks. Based on the ADX strength on the monthly, I think there are strong chances that this stock rallies to ATH (approximately 60% gains from current price levels).
Happy to hear thoughts, questions or comments.
IONQ Bullish "Investment Grade" Trade Setup:
Multi-timeframe analysis and reliable indicators like ADX & RSI point towards the *potential* for a strong upside move for IONQ and other similar quantum computing stocks like QUBT & RGTI.
MONTHLY TIMEFRAME:
The ADX shows the monthly timeframe bullish trend is extremely strong and has integrity. This is step number 1 and suggests that looking for entry on the Weekly chart is a worthwhile pursuit. We also see the 2 & 4 year SMA's sloping upwards, indicating the path of least resistance on this timeframe is higher.
WEEKLY TIMEFRAME:
The pullback that has occurred since October has seen a declining ADX on the weekly timeframe, implying weak seller integrity. This is a classic combination where the HTF (Monthly) ADX is very strong, and the pullback on the entry timeframe (Weekly) is weak. We have a very strong trend on the HTF, weak conviction from Sellers on the entry timeframe. This gives us the green light to look for resumption of bullish momentum to get long.
Last week the 5 week RSI closed above 50, and we took out last weeks high today, implying the bullish momentum has resumed and is in alignment with the strong monthly trend. A further confluence is the Buyers stepping in at the rising 200 day SMA, creating higher lows on the weekly chart, and we see the 50 day starting to flatten/rise in alignment with the rising 100 & 200 day SMA's, suggesting the "path of least resistance" is higher.
My entry is 52.46 with a stop below January lows @ 43.80. This is a wide stop as this is an "investment" style swing trade, which I anticipate holding for several weeks. Based on the ADX strength on the monthly, I think there are strong chances that this stock rallies to ATH (approximately 60% gains from current price levels).
Happy to hear thoughts, questions or comments.
Email shepthetrader@gmail.com for access to my free Discord.
คำจำกัดสิทธิ์ความรับผิดชอบ
ข้อมูลและบทความไม่ได้มีวัตถุประสงค์เพื่อก่อให้เกิดกิจกรรมทางการเงิน, การลงทุน, การซื้อขาย, ข้อเสนอแนะ หรือคำแนะนำประเภทอื่น ๆ ที่ให้หรือรับรองโดย TradingView อ่านเพิ่มเติมใน ข้อกำหนดการใช้งาน
Email shepthetrader@gmail.com for access to my free Discord.
คำจำกัดสิทธิ์ความรับผิดชอบ
ข้อมูลและบทความไม่ได้มีวัตถุประสงค์เพื่อก่อให้เกิดกิจกรรมทางการเงิน, การลงทุน, การซื้อขาย, ข้อเสนอแนะ หรือคำแนะนำประเภทอื่น ๆ ที่ให้หรือรับรองโดย TradingView อ่านเพิ่มเติมใน ข้อกำหนดการใช้งาน