To The Moon

🌟🌟🌟Moving Averages ( MAs) tell us where the trend is going while candlesticks whisper secrets about immediate price action.  When the 2 systems align, they don't just signal a trade, they create legendary chart patterns with names that evoke power and fortune.

Here are 4 high conviction setups to watch for with examples from well known stocks:

1.  Dragon Rising from the Sea: Single Bullish Candle Piercing Multiple MAs

This is an incredibly powerful reversal signal that speaks to a sudden overwhelming shift in momentum.  Imagine a mighty dragon bursting from the ocean depths.

The Setup: The stock price has been consolidating below several key MAs (eg. the 20 day, 50 day and 100 day MAs are all stacked above the price). A single massive bullish candlestick (a huge Bullish Engulfing pattern) pierces straight through all of them in 1 session.

The Emotion:  It represents the bulls finally breaking free from the shackles of previous resistance , signalling that the bears are in full retreat .

Example: Tesla$Tesla Motors(TSLA)$  

Imagine a scenario where Tesla has been trading sideways in a tight range below its 50, 100 and 200 day MAs.  Suddenly a massive day of good news (like a surprise beat on delivery numbers) causes a single huge green candle to explode upward, closing significantly above all 3 MAs.  That is the dragon rising.

2.  Guillotine Blade : Bearish Candle Breaking Multiple MAs

The counterpart to the dragon, this pattern signals a sudden, decisive end to an uptrend.  It is a swift execution of the bulls.

The Setup:  The stock price is comfortably trading above a stack of supportive MAs.  A single large bearish candlestick (a Bearish Engulfing or a high volume red candle) slices downward through multiple MAs simultaneously.

The Emotion: Fear and panic selling .  The support levels that were expected to hold are decimated in an instant , suggesting a swift and severe downtrend is initiating.

Example: Netflix $Netflix(NFLX)$  

Recent Example of Netflix on December 10 25

The action: Netflix faced a sharp "execution" on December 10 when a heavy red candle crashed -4.14%.  This move sliced through its short term support levels , triggering a strong Sell signal across its 5, 50 and 200 day MAs.

The Feeling :  The swift cold drop of the blade.  One bad session wiped out weeks of hope as the stock fell from its June highs into a "wide and falling trend".

3.  Golden Phoenix Returns to Best

SetUp: A trend continuation after a healthy pullback to a major MA.

Recent Example: NVIDIA on December 17 25

The Action: Following a period of volatility, $NVIDIA(NVDA)$  pulled back to a "pivot bottom" on December 17.  It rested on its support zone near USD 176 before finding fresh buyers.  Since that "nesting" session, NVIDIA has soared over 7.4 % to reach recent highs near USD 189.

The Feeling: The Phoenix does not stay down for long.  This pullback was just a chance to gather strength before soaring back towards to all time high of USD 212.

4.  Carp Leaping Over Dragon Gate 

Setup: Price breaks through a major MA with massive volume 

Recent Example: $Advanced Micro Devices(AMD)$  on December 19 25

The Action: AMD staged a "legendary" leap on December 19 surging +6.1% in a single day.  The breakthrough was confirmed by massive volume spike - trading over 58 million shares, more than double its usual daily activity.

The Feeling: The transformation.  This high volume breakthrough resistance at USD 214 signaled that institutional "Big Money" has decided that this Carp is ready to become a Dragon for the 2026 run.

Trading Wisdom

Do not just trade the candle.  Trade the story it tells when it meets the Moving Average.  May your eyes be sharp and your trades be legendary!  Trade wisely by using MAs as your map, your candlesticks as your compass and may your portfolio soar!

@Tiger_comments  @Tiger_SG  @TigerStars  @TigerClub  @CaptainTiger