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ONON — Oversold Bullish Reversal
Status: Invalidated
Scanner score: 20.0/100
Why this was flagged
ONON was identified as a bullish technical setup based on the Oversold Bullish Reversal pattern. The scanner found a score of 20.0/100 using trend alignment, momentum, price action, volume, and risk-management rules. Monitor update: Latest stored daily low of 26.6000 reached or fell below stop loss 26.6334.
Trade framework
Position-sizing example
These examples use the distance between the reference entry and stop-loss. They do not account for commissions, slippage, taxes, overnight gaps, or your personal account size.
Exit plan
- Stop-loss: Exit if the stop-loss is reached. Do not move the stop farther away to avoid taking the planned loss.
- Target 1: Consider taking partial profit when Target 1 is reached and reducing risk on the remaining shares.
- Target 2 or trailing exit: Consider closing the remaining position at Target 2, or use a disciplined trailing stop only if the trend remains strong.
- Time exit: Reassess or close a trade that fails to progress within the suggested holding window.
Technical chart
Daily closing price with moving averages and planned trade levels. This chart is a screening aid, not a guarantee of future results.
$1,000 educational outcome examples
These examples use a $1,000 position and fractional shares at the midpoint of the entry zone. Actual results can differ because of market gaps, fills, spreads, commissions, taxes, slippage, and changing conditions.
Easy explanation for new investors
A computer tool looked at On Holding AG, which trades under the name ONON. It noticed the stock price seemed very low compared to its recent history. This is often called being "oversold." In plain English, this means the price dropped fast, and the tool thought it might bounce back up. The tool gave this setup a low score of 20 out of 100, showing it was not a strong match. It used a rule called the RSI, which measures momentum, to help find this possible turn around.
What the price plan means
The plan started when the stock cost about $26.86. Traders wanted to see if the price would go up to $27.31 or $27.54. These are the target goals. The plan said to stop losing money if the price fell below $26.63. This is the stop loss. The reward was planned to be twice the risk, meaning you could make double what you might lose. However, the latest data shows the daily low hit $26.60. This is below the safety line of $26.63. Because the price broke that bottom, the plan is now cancelled. It is considered invalid.
What could make the idea fail
The main reason this idea stopped working was the price moving too low. The stock fell below the safety stop. When that happens, the pattern fails. Also, the overall score was very low to begin with. Low scores mean the conditions are weak. The tool also saw that the volume was normal, not high. High volume often helps confirm a move, so normal volume adds uncertainty.
Important reminder
Please remember that this is not financial advice. Markets change quickly and prices can move unexpectedly. Just because a tool finds a pattern does not mean it will work. Past performance does not predict future results. Always do your own research and talk to a professional before making any decisions with your money. Scanners can be wrong, and invalid signals happen often. Be careful and protect your funds.
Recent news context
This automated review is separate from the technical score. It summarizes recent related articles and does not predict price movement.
Overall context: Neutral (Low confidence)
No recent ticker-specific articles were returned during the current review window.
Risks and caution items
- News coverage may be limited or unavailable.
Important: Some returned articles may describe competitors, industry conditions, or related companies. Open the source before relying on an article.
Scanner confirmations
- RSI is near oversold territory with bullish candle confirmation.