BYD shares still in consolidation mode: where is the breakout? – Chart analysis

The BYD share remains in a consolidation mood. In the last few days – with the exception of November 11 – the area around 164/168 Hong Kong dollars has proven to be the expected technical support zone. But after the slide from the all-time high of 210 Hong Kong dollars to 156.80 Hong Kong dollars and the bear trap on 11/11. BYD’s share price has not yet been able to free itself from the clutches of the consolidation trend. This also applies to today’s trading on the stock exchange in Hong Kong with the share certificate of the Chinese vehicle manufacturer, which is mistakenly referred to as the “Chinese Tesla” without the comparison of the two stocks really making sense. So far, share prices between 170.50 Hong Kong dollars and 178.80 Hong Kong dollars have been quoted for BYD, currently the paper is quoted at 171.30 Hong Kong dollars, near the daily low and almost 3 percent in the red.

In terms of charts, the scenarios for the BYD share remain as we sketched out over the weekend. Here are the most important details again. The support zone between 164 Hong Kong dollars and 168 Hong Kong dollars remains relevant for the trend in BYD’s share price. It played a technical role in the chart at the end of October / beginning of November – as it was initially a resistance level – and it has also played a technical role in the last few days. The area is strengthened by the EMA20 at currently 169.10 Hong Kong dollars, and the trend is rising.

A slide below this support zone could exacerbate the setback of BYD shares towards HK $ 156.80. At this point is the most recent low of November 11, the previous low of the consolidation, which started after the bull market to the new all-time high of 210 Hong Kong dollars. In this scenario, it would also be possible to expand consolidation to new lows. Further support can be found around 143.50 / 147.00 Hong Kong dollars, and the rising EMA50 is not far below that.

The bullish side: The recent breakout above the technical signal level at 181.50 / 182.00 Hong Kong dollars to 184.80 Hong Kong dollars did not give the BYD share a stable buy signal. The hurdles around the recently opened downward gap at 189.90 / 191.90 Hong Kong dollars were not tested at all. The marks remain important bullish signal marks for BYD’s share price in chart technology.

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