TCTZF trade ideas
TCEHY SELL/SHORT to 53.85 (BUY ENTRY) TICKER CODE: TCEHY
Company Name: TENCENT HOLDINGS LIMITED
Industry: US Stocks OTC
Position Proposed: BUY
Entry: NOT READY (52.70-53.85)
1st Partial Take Profit: 112.30 (April-May 2024)
2nd Partial Take Profit: 148.55 (October-November 2024)
Stop Loss: 44.90
Technical Analysis
1. Head & Shoulders (Potentially forming Head)
2. Double Bottom (Potentially forming; via Mirror)
3. Fibonacci Retracement at structure level
4. Safe Take Profit at Fibonacci Extension level 1.0 (Grey Zone)
Expecting Further UpsideExpecting further upside after Tencent leaves Re-accumulation Phase (Trading Range) possibility entering in Mark Up Phase.
Over the Re-accumulation range, stock showed the transition from supply dominated action to weakening of supply to demand dominated action.
Stock is trading relatively stronger than the broad market (RS above zero), indicating strength in demand for the stock.
Price trading below $550 level will falsify the Mark Up Phase analysis and stock will reenter trading range.
Should you put more money with Tencent ?we are now in a catch 22 situation where there lies the possibility of the share price breaking out of the triangle as we witnessed it sitting on the support level at 599.5 level. This resistance turns support level will determine my next entry !
Some news on Tencent
www.channelnewsasia.com
700 (TENCENT) POTENTIAL SELL INCOMING at 588.5 to 419.5TICKER CODE: 700
Company Name: Tencent Holdings Ltd
Industry: Communication Services | Internet Content & Information
Position Proposed: SELL
Technical Analysis
1. Falling Wedge Pattern (Potentially forming)
2. Large Head & Shoulders (Potentially forming)
3. Fibonacci Retracement at 0.786 is at key market structure
4. Fibonacci Expansion Safe Take Profit Level 1 (Grey Zone) Also the length of Flagpole
Analytical Assumption
Monthly chart has not done any proper retracement
to any market structure hence, we are looking for a deep pullback.
This deep pullback will hit previous resistance which is now the new support
Sell Exit: 588.5
Buy Entry: NOT READY (379.5-419.5)
1st Partial Take Profit: 867.0 (July-End 2022)
2nd Partial Take Profit: 1146.0 (2023)
Stop Loss: 355.0
This chart will be monitored and updated on a closer date or when more data is presented.
Stormy weather for Tencent Read latest article here
From Alibaba hefty penalty, we are now seeing the Chinese government going after Tencent.
We could possibly see the 600 support for Tencent to breakdown and if it does, then we expect
the next level of support to be the 500 level. That would really be an attractive offer to accumulate more of this shares.
It's subsidiary, Tencent Music Entertainment has not been spared as well........plunging from a peak of 30 to current 17.80, almost 50% fall and the selling looks not quite done.
I believe this is a short term correction and we will soon this company recover soon. Be patient for now as it roughs it through the dark valley....
Tencent continues consolidation before rallying to the upside! Hello everyone. Recently, I just visited the HQ of Tencent in Shenzhen. The business trip was fantastic! I never thought Tencent got so many powerful apps pending on the pipeline. The visual tour, AR as well as so many others really got my attention. I'm confident that those products will become the pillar of its revenue in the future.
Now, let's go to the technical side. Obviously, the price is consolidating around the narrow range. In my opinion, the confluence zone is just below so this isn't much room to the downside.
In addition, I got identified a firm uptrend line which should serve as a support line with zone. So, buy low and hold strategy should be paid off in the coming months.
Buy zone: 606-587
Trading target: 650, 693
Invest target: around previous high 750.
Tencent 700Hk - Slow & SteadyCurrently at a 24% discount off the peak of 775.5HKD on 17 Feb 2021, China/HK techs been facing alot of noise due to China Government policies to rein in the tech sector.
Currently after the 2.8Billion USD fine on Alibaba, there was a major news selloff on the 13 Apr 2021 that regulators invited most tech
for a meeting such as Tencent / JD / Meituan / Pinduoduo and more. However a major contrast was that the techs were all given 1 month notice to change and adhere to the guidelines which shouldn't be an issue.
Key point to hold long term
generating massive revenues from mobile gaming such as PUBG MOBILE and continue churning out games (E-sports as ongoing trend)
PUBG Mobile was the highest grossing game in 2020, generating $2.6 billion in revenue.
It has been downloaded over 730 million times.
In Q3 2020, over 50 million people played the game daily
www.businessofapps.com
sensortower.com
Strong business fundamentals / balance sheet / well invested into multiple companies
Target pricing on 11 June 2021
TP High - 700
TP Low - 641
For discussion & education, Invest at your own risk
Tencent Analysis Price is likely to break into the blue section of the GANN FANN. If this does occur it plays into the potential Head and Shoulders developing and the price is likely to drop to bottom of the section. Therefore do not purchase stock until price movement is concrete and if price drops only purchase at the bottom of the blue section
