It has been consolidating since the end of May. If you look at that chart I put up it has been trading in a stage 1 base and just passed a peak on 8/19 on very high volume. The big institutions are really buying up shares, as you can see by the volume. PDD is heading for a breakout at 164.99. I wouldn’t be surprised if it flattened out or broke back into the base after reaching that but I expect this will go much higher for now. If you look at my stop it is set just under the 200 sma which I do not expect them to break with what is going on in China.
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Moving my stop up on PDD. I have heard rumblings that the infusion of cash into the Chinese market might not be as big as was hoped. Just rumors but I want to protect my gains.
You will get a better picture after this meeting. I think Chinese authorities didn’t expect such a runway, so they may walk back a bit. When it comes to China, you always have to be aware of the Head-fake. Also, this move is essentially fueled by Hedge funds, and short sellers covering. So… they could turn on a dime.
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I wouldn’t have any idea and I don’t care about short term market movements. I just pick individual stock to hold for the long term when it is cheap relative to business prospects. I can’t consistently do better if I attempt to make short-term timing. Never set stop loss - again, it doesn’t help in my overall scheme.
Now I move on to spend energy in finding gems in other markets. Just found one I like in Japan!
That is one way to do it. Good luck!!.