NVO broke structure

10月3日

I did end up cutting my losses on my NVO trade, I was not quick enough to sell the relief rally. This chart confirms the breakdown of the stock finally after all this time. I zoomed out and drew an optimistic demand zone on the monthly chart. I expect some consolidation around the 200 EMA at this point which is generally what these high momentum charts like to do when they break down. This blue ema will likely collide with the demand zone at some point. If I were to continue trading this it would be to short, but these stocks are very hard to short since they are story stocks, the GLP story remains strong but is experiencing FUD.

My short-term target is 105$
Medium term the demand zone box
I do not expect high momentum for a while with the recent headwinds