Xiaomi (1810) stock is still a great buy, here is why. – Idaho Reporter

Asia

Xiaomi (1810) stock is still a great buy, here is why.

Xiaomi shares started the week with a small discount. However, this is not yet an indication that the upward trend is interrupted. In the coming days, a new decision is likely to be made in this segment about the speed of the rate development. Investors are currently wondering what to do now.

The dynamic in the price development has been extremely strong in the past few weeks with a premium of over 50% in one month. The reason is the company’s model policy, which is now starting to become a smaller competitor for Apple. High-class smartphones – also with regard to 5G technology – are sometimes offered for less than 300 euros.

Bullish case for Xiamo stock: The technical upward trend remains stable. The company is likely to climb initially as a target price of $4 and then up to $4.50. According to the opinion of the chart analysts, this still corresponds to a potential of more than 20%. The technical analysts are of the same opinion. In all temporal dimensions the signals are directed upwards. In addition, both the momentum in the short term and in the long term are positive, as is the relative strength according to Levy. This means that the prices have a chance of a price breakout in the coming days – and the downside risk is currently relatively well absorbed.

Bearish case for Xiamo: At this point the biggest problem for Xiaomi, or any other Chinese company, could be further worsening of USA-China relationship. But Asia is a main market for Xiaomi so bears are without big arguments here. Apple of China will continue to go up, especially on a long run.

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