Investment Analysis, Market Insights, and Trading Strategies
Stocks that maintain strength even during market downturns often indicate long-term bullish potential. We typically consider stocks showing monthly trend patterns as good candidates for entry. A prime example is NVDA.
These often present the best choices for medium-term trading due to their high certainty and clear targets.
From September 2021 to October 2022, META experienced a year-long decline, followed by a clear trend reversal. For stocks of this caliber, a typical pattern involves forming a bottom-to-top oscillation, in this case from 90 to 375, confirming the oscillation pattern. Similar patterns can be observed in NFLX and AMZN.
However, not all significant declines lead to trend reversals. For example, Tencent (700) experienced a rebound within its oscillation range, which explains its more complex subsequent price movement compared to other stocks.