NIO - the downtrend about to end?

hi traders

Let's have a look at NIO stock.
With terrible earnings at the end of March, the price faced a strong rejection and continued a major downtrend.
On the 8th of April, due to the whole market correction, NIO dropped heavily and the price reached 3,05$, where we saw the downsloping support line playing a big role and stopping the price from further decline.
RSI was very oversold, and now it looks like it was a bottom (at least for now).
The price bounced back to 4,20$ but it seems like it's getting rejected at 100SMA line.
RSI was overbought at the moment of this rejection, so I expect the price to give a bit of pullback but overall, I expect the price to try to retest the major downsloping resistance (a yellow trendline). If it breaks the downtrend, we will see fireworks and 7$+ will be a target.
If the price gets rejected, expect another 40% drop.

NIO needs a solid catalyst, such as strong earnings. With weak fundamentals, it will be hard for the price to break this major downtrend.