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A security pattern traces the distinct movements of security prices that, once recognized, help traders to make informed trading decisions. These patterns are identified by their vital geometrical elements, which are formed by changing security prices. Here is a closer look at some social media stock opportunities that may be revealed by analyzing these patterns.

Buy Signal for Pinterest, Inc. (PINS) (Pennant)

The rising pennant (or bullish pennant) pattern looks like a pennant with a mast. It forms when rising prices experience a consolidation period, and the price moves within a narrow range defined by the converging lines through points (2, ­4) and (3, ­5). After the consolidation, the previous trend resumes.

This type of formation happens when anticipation of an uptrend is high, and when the price of a security consolidates within a range. It indicates growing investor interest in a potentially explosive uptrend.

Trade ideas:

• Buy near the breakout (entry) price – $25.06.
• Sell at the target (exit) price – $30.04.

Trend trading is a strategy based on the technical analysis of changing market prices. The trend trader enters into a long position when a stock is trending upward, and uses the short position when a stock is trending downward.

Buy Signals for Yalla Group Limited (YALA),Yelp Inc. (YELP), & JOYY Inc. (YY)

Trade ideas:

• Buy at the opening of the stock market on Monday if the opening price has gone up by no more than 0.5% of Friday's closing price.
• Sell after the price has risen by 2% from Friday's closing price, or at the end of the trading week if the target is not reached.

Buy Signal for NetEase, Inc. (NTES)

Trade ideas:

• Buy NTES at the current market price if seen as appealing.
• Sell NTES after receiving the "sell" recommendation from trusted analyses.

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