| 🚨 Something’s brewing on the GDS chart — and it’s hard to ignore. After months of going nowhere, this stock just flipped the switch.
It reclaimed the 200-day moving average with power…
Stacked a string of higher highs…
And now it’s coiling up, ready to launch again. Most traders are still chasing noise.
We’re looking for structure, momentum, and clean entries.
And GDS is delivering all three. In today’s deep dive, I’m showing you:
✅ Why this trend shift just confirmed
✅ The exact zone I’m targeting for entry
✅ How we manage risk while positioning for a breakout to $50+ This is the kind of setup that builds real income — not hype. Ready? Let’s break it down.👇 GDS is trading at $45.09 and showing strong upward momentum after reclaiming its 200-day moving average. After a choppy multi-month bottoming structure in 2023, price finally broke above $35 resistance in early January 2026 and hasn’t looked back. The recent rally has been fast but orderly — a series of higher highs and higher lows, with healthy consolidation pockets: - 200-day SMA is now turning upward after a long flattening period
- Price is well above the 200-day, signaling momentum and relative strength
- Last few candles are consolidating tightly after the recent run — no signs of aggressive selling
This looks like a fresh uptrend in early stages — and we’re watching for continuation entries on pullbacks or breakouts. 🔍 Volume & RSI - RSI (14): 57.82 — Momentum is still in bullish territory and resetting slightly after a short overbought stretch.
- Volume: Consistent and rising on green days, with low volume pullbacks — healthy action typical of accumulation.
📃 Original Setup:
Bullish Continuation Play after 200-day reclaim and breakout from base. 💡 Trade Idea - Entry Zone: $43.00–$44.00
→ Watch for bounce off rising 10-day EMA or inside bar breakout - Target: $50.00–$52.00
→ Measured move from last breakout leg
→ Round-number magnet at $50 - Stop-Loss: Below $41.75
→ Would break recent support zone and invalidate breakout structure
📃 Why This Setup Works ✅ Trend reversal confirmed with strong reclaim of key levels
✅ Clean higher-low structure and price above 200-day SMA
✅ Bullish consolidation near highs, not rolling over
✅ Sector (tech/infrastructure) showing strength
✅ RSI staying above 50 = momentum intact ✅ Summary GDS has transitioned from bottoming to trending. It’s now in the early innings of a new uptrend, holding gains and digesting recent strength. With the 200-day slope turning up and price pressing near recent highs, this setup offers strong continuation potential with well-defined risk. - For income traders:
→ Consider a bull put spread under $42 (e.g., short $42 / long $40) if support holds - For swing traders:
→ Entry near $44 or on breakout above $46
→ Targeting $50–$52 range with stop below $41.75
🔔 Trigger - Bullish candle reclaiming $45.50 with volume surge
- Bounce off 10-day EMA with strong close
- Breakout above recent tight 3-day consolidation
💡 Catalyst - Q1 earnings surprise or revenue guidance
- Institutional inflows or China tech momentum
- Market-wide risk-on rotation benefiting international growth stocks
✅ Bonus Filters - RSI > 50 and stabilizing
- Price > 10-day EMA > 200-day SMA
- Outperforming emerging market ETF or tech peers
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