Saad Ullah
NIO has been through hell and back. The Chinese EV maker peaked in 2021 and then spent years getting hammered by sellers, leaving investors pretty beaten up. But now something interesting is happening – the charts are starting to tell a different story.
NIO (NIO) Price Breaks Free From Downtrend
Trader @MrHodlerian is pointing to some compelling technical signals that suggest NIO might finally be ready to turn things around. The stock just broke above a key resistance line that's been holding it down since 2021, and that could be the spark that ignites a major rally.
For years, NIO has been stuck in a downward spiral on the monthly chart, trapped below a falling trendline since its 2021 highs. But recently, the stock punched through that technical ceiling – and that's got traders talking.
Right now, NIO is trading around $6.17, with solid support sitting in the $6.00–$7.32 range. If that floor holds, we could see the stock start building momentum for a push higher.
Here's what traders are watching:
- Support zone: $6.00–$7.32 (this needs to hold for the rally to work)
- First targets: $12–$17
- Big targets: $37, $100, and possibly $185+ if things really take off
The chart setup suggests NIO could go parabolic if it keeps this breakout momentum going.
Investor Sentiment on $NIO
The EV space is still brutal, with everyone fighting for market share. But there's growing buzz among the bulls who think NIO could catch a break from China's push for more EVs and government backing for clean energy.
If big money starts flowing back into NIO and the short sellers pack up, we could see the kind of explosive move that made EVs so exciting back in 2020-2021.
NIO has been in the dumps for years, but this breakout above its long-term downtrend could be the game-changer bulls have been waiting for. With targets as high as $185, the stock is definitely back on traders' radar.
Saad Ullah
