PDD - hyper growth gem

8月26日

Rising wedge was always going to break down. This company has high exposure to the Chinese consumer, which continues to struggle with no end in sight. That is reflected in the stock price of companies like Alibaba which trade at very low valuations. But unlike Alibaba, PDD is a hyper growth stock and has taken a lot of their market share.

Looking at the technicals, there is a gap fill between $80-90. I did start with a small buy at $97 but I’m looking to start a sizeable position at the gap fill. We have all sorts of confluence on the chart, I tend to favour Fibonacci retracement and Fibonacci time based trend, along with the Speedfan.

I like what I see for a long term investment, not looking to trade this. I do believe the Chinese economy will rebound, and when it does PDD will have a violent rebound.

Not financial advice, just my thoughts. I will continue to monitor this and keep you updated. Happy trading!

8月28日

交易开始

Gap fill approaching. I will be laddering in slowly. Not financial advice

8月28日

注释

This move down is on high volume. So catching the falling knife here is very high risk. I fully expect us to head down to lows. However, as a long term investor (not trading this asset) I have no issues and in fact welcome a bigger drop for accumulation purposes.

8月29日

注释

Gap fill area was hit, just about. Trade was activated and the expected bounce is underway. Let's keep an eye on it as it could fail and it will be time to reassess our position here.

8月30日

注释

Be mindful, $100 could act as resistance. If we don't blast through I will be tempted to close my position and re-enter upon a sign of strength.

10月25日

交易结束：到达目标

Took profits at $140 and closed the remainder of my position as the trailing stop loss activated at $122