- Nio Inc (NYSE: NIO) stock price is near to the 52 week low ahead of the Q4 Earnings
- Nio Inc Q4 Earnings estimates remain negative at $0.28 and the revenue estimate at $2.39B
- Technical indicators of the NIO stock is bearish but the RSI at 32 near to the overbought zone
Nio Inc (NYSE: NIO) stock price has formed an incomplete double bottom pattern and prices took downside reversal from the 50 day EMA shows that the bears are dominating on the higher levels but the prices are near to the 52 week low and any surprises in the Q4 earnings will be enough to trigger a short covering rally. In the previous session NYSE: NIO stock price closed at $9.39 with the intraday gains of 0.64% and market cap stands at $16.314B
Will Nio stock hit 52 week low or witness short covering?
Nio Inc (NYSE: NIO) stock price is in the downtrend and slipping down by forming lower low swings shows that the prices are into the bear’s grip and does not show any signs of turnaround.
In the beginning of January, Nio stock prices took a U-turn and gained some positive momentum which had created a hope for the bullish trend reversal but unfortunately prices were unable to break out of the swing high hurdle at $14.00 and witnessed massive selling pressure from the higher levels. Meanwhile, the bulls have also attempted to push the price above the 50 day EMA but slowly and steady bears took over the control and succeeded to drag the prices in the downward direction. Therefore, $11.00 will be acting as an immediate hurdle for the bulls followed by the next hurdle will be at $14.00 level. However, Nio Q4 earnings are scheduled on March 1,2023 and if the company succeeds to meet the Q4 estimates then we might see a wild short covering rally from support at $8.41 level.
On the other hand, The technical indicators of the Nio stock like MACD have generated a negative crossover indicating bearishness to continue for some more time whereas the RSI at 32 near to the oversold zone denotes prices might see short term relief rally in coming few weeks.
Summary
Nio Inc (NYSE: NIO) stock price is into the bears grip and bears are continuing their dominance on the higher levels but the prices are very close to 52 week low and Q4 Earnings are also about to release which is enough to trigger the short covering from the lower levels. However, if the company posts disappointing Q4 results then it might create trouble for the long term investors.
Technical levels
Resistance levels : $11.00 and $14.00
Support levels : $8.41 and $7.50
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational ideas only, and they do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
Source: https://www.thecoinrepublic.com/2023/03/01/nio-inc-nyse-nio-stock-price-prepares-to-react-in-q4-earnings/