NEXI could be close to an upside explosion-proiezionidiborsa.it
The stock markets and therefore the actions move by vertical tears and lateral phases. The former are upwards and downwards, and the latter horizontally. Close to the minimums and maximums, an explosion of momentum always “happens” which sets off directionality. What to expect from now on for NEXI? An upward explosion is coming for a share that has been going down for so many months.
According to the dictates of classical technical analysis, a movement of a stock index, or of any financial instrument, therefore also stocks, is formed according to a specific pattern. 3 gaps are left in the graphs, where the prices between them tend not to touch between one trading day and the next. These voids are called gaps.
How does a trend move?
These gaps are of 3 types:
escape, at the beginning of a trend;
half way in an already mature trend;
of exhaustion, at the end of the trend.
NEXI shares have been showing good bullishness and relative strength on the rise for a few months. In the week of July 5, 2021 it reached its maximum, and from that level a real bearish carambola began up to 7.146 in the week of June 13. This level was almost touched during the week (7.27) in the week ending December 26th. At that moment our oscillators highlighted a low end bearish divergencewith a possible double bottom.
The Reader must know that the declines tend to almost always end with a double bottom. So say the historical series from 1898 to today, and we therefore have the right reasons that this pattern will tend to repeat itself for a long time.
Paolo Borghesi-Group Chief Information Security Officer-NEXI-proiezionidiborsa.it
An upward explosion is coming for a share that has more than halved (about -60% from the highs)
For the reasons explained above, we believe NEXI shares (last price at 7.862) may be close to a momentum burst (the escape gap). So, there could be a long way to go.
NEXI long-term weekly chart-proiezionidiborsa.it
If this however will be a double bottom, the first target should be set at 10.04 and then at around 13.55 within a few months.
The analysts’ recommendations (20 opinions) consider these shares undervalued by 55.3% with a target of 12.04 euros.
