The current stage is consolidation after a rebound; it should not be considered a full-scale strengthening until 87.20 yuan is broken.
Meituan-W’s recent performance has stabilized compared to before, with the stock price gradually recovering after rebounding from a low of 73.60. Currently trading at 84.35, it has moved back near multiple short-term moving averages, but overall, it has not yet broken out of the range consolidation pattern. Judging from investors' comments, market sentiment is clearly divided. On one side, some believe the toughest phase is over and are starting to anticipate positive news, short squeezes, and further stock price increases. On the other side, there are concerns about potential profit-taking at higher levels, or suggestions to take profits now. Overall, the market has not formed a consensus direction, and the atmosphere remains cautious.
The focus of discussion centers around three main themes. First, whether the stock price reflects major players accumulating shares at lower prices or distributing shares after a rebound. Second, whether to chase the current position or wait for clearer signals before making a move. Third, whether Meituan has sufficient positive catalysts to push the stock price through key resistance levels. These questions reflect that the market still holds some short-term expectations for Meituan, but confidence remains fragile.
Technically, Meituan's current price of 84.35 shows its Relative Strength Index (RSI) above 53, indicating relatively stable short-term momentum. The trend has improved compared to earlier, but there is still no strong breakout power. The key resistance zone remains between 87.20 and 88.54. As long as this level is not effectively breached, the overall situation should still be regarded as consolidation after a rebound rather than the start of a new upward trend.
The critical levels going forward remain between 84.65 and 87.20. If the stock can stabilize above 84.65 and further break through 87.20, there may be an opportunity to test 88.54 in the short term, which could improve market sentiment. Conversely, if 84.65 fails to hold, caution is needed as the stock might retest support near 84.77, potentially prolonging the consolidation period. Overall, Meituan is currently in the process of trend recovery but has not truly strengthened yet. Risk-reward remains neutral, and it would be more suitable to wait for clarity on key levels before taking action.
Market view response:
@阿玉还想吃Comment: Major players are suppressing prices to buy, Meituan has gotten through its toughest days
The stock price has stabilized from its lows; the worst phase may be over, but until it breaks through, it's still in recovery and shouldn't be seen as a full turnaround too early.
@Xiao Zhu Guli@小朱古力Comment: Great positive catalyst, excessive short selling, major players need to force a squeeze
If the stock price can break through 87.20, there indeed might be a stronger upward movement in the short term.
Currently, it cannot confirm distribution based solely on trends; key support levels must be watched to see if they will hold.
The range of 87.20 to 88.54 above is indeed a resistance zone, and selling pressure can easily occur before a breakout.
Meituan-W (03690) Key Deployment: 84.65 is the short-term watershed. If it holds steady, a rebound can be expected. If it breaks through 87.20, it may rise towards 88.54. If it fails to hold 84.65, shift to defense and watch for support near 84.77.
Strategy One | Hold Support Levels, Aim for Rebound within Range
26527 | Strike Price 93.05 | Actual Leverage 4.8x | Close to current price, suitable for holding steady above 84.650 and following the rebound without being overly aggressive, capturing the recovery.
26737 | Strike Price 93.05 | Actual Leverage 4.9x | Also a close-to-price product with slightly higher leverage, ideal for faster rebound deployment after confirming support levels.
26183 | Strike Price 93 | Actual Leverage 4.7x | Balanced terms, suitable for expecting a stock price stabilization before gradually challenging 87.200, for a steadier short-term position.
Strategy Two | Breakthrough at 87.200, Targeting 88.543
26081 | Strike Price 97.95 | Actual Leverage 7.3x | Higher flexibility, suitable for entering after breaking through 87.200, aiming for short-term acceleration.
26109 | Strike Price 97.95 | Actual Leverage 7.5x | More aggressive leverage, suitable for chasing momentum when a clear uptrend is confirmed, amplifying short-term volatility after the breakout.
25015 | Strike Price 106 | Actual Leverage 7.9x | Slightly out-of-the-money but with stronger explosive power, suitable for aggressive deployment when a real breakthrough occurs with capital inflow.
Strategy Three | If 84.650 is breached, switch to defensive mode and monitor pullback
21519 | Strike Price 82.83 | Actual Leverage 5.8x | Close to the breakdown point, suitable for immediate reversal after breaking through the watershed; target short-term retracement to 84.773 or lower levels.
21291 | Strike Price 82.83 | Actual Leverage 6.0x | Higher leverage, suitable for accelerating capture of the downward movement once the breakdown occurs and trend weakens.
23019 | Strike Price 82.83 | Actual Leverage 6.3x | The most aggressive among the three, suitable for short-selling after confirming a breakdown; key is quick in-and-out trading.
Reminder: This article does not constitute any investment advice.
This article is for reference only and does not constitute any investment advice. The market data, opinions, and analysis contained herein may change at any time without prior notice. We are not responsible for any loss or damage caused by reliance on the information in this article. Technical analysis only shows whether certain technical conditions are met; a comprehensive assessment of asset performance should combine other data and should not solely rely on this article to make trading decisions. Please note that past performance is not indicative of future results. Follow Jenny's insights on Hong Kong stock warrants for more professional analysis.
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