$BABA - Can it see a reversal?NYSE:BABA Alibaba is trading inside a descending wedge. The stock bounced from the lower trendline of the wedge and has a potential for further upside.
Upside targets:
$84
$88
$92
Downside risk:
$74
BABA trade ideas
🚀 Alibaba - Inverse Head and Shoulders🚀 Alibaba - Inverse Head and Shoulders
✅ TP1 - 120$
✅ TP2 - 180$
❌ Stop - 77.77$
$BABA - Levels to keep an eye onBABA was sold off quite aggressively after results and is once again trading at the bottom of its recent range.
The levels that need to hold are 77.38 and then 74.00. Previous swing lows are all the way lower at 57.60.
Upside target is still the top of the sideways channel, 121.00
Waiting for pullback to accumulate AlibabaHere is the link probably for those based in Asia and can buy Alibaba shares.
From its low of 57 dollars, it has bounced back more than 100% to its current price of 115 in less than 3 months. It is written on the wall that the tech sector regulations in China is over and a new chapter has begin in 2023 onwards. The Central government will now have a stake in these tech giants in a way to control their monopolistic behaviour.
The platform business, e-commerce, live commerce, internet related sectors are all too important in China and it is only in the interest of China to continue to invest and grow this sector exponentially. It could be the first sector to pull China out of its doldrums and spearhead its bearish GDP figures last year. Now, with the travel ban lifted up, we will witness the hospitality sectors picking up the lowest hanging fruits.
Do not forget, bookings of flights , hotels, payment gateway are all digitalised now so those operators behind these industry like Alipay, Tencent, Trip.com, etc will be the main beneficiaries.
So, I will be accumulating shares of Alibaba (9988) since I am based in Singapore slowly this year.
Please DYODD.
Long on BABA
BABA has broken out of a descending wedge and had a retest of support with bullish RSI divergence. Stoploss at last swing low and will be moving SL to BE when safe to do so.
$BABA Double Bottom Weekly Chart in Sight---
### Stock Analysis Update: Alibaba ( NYSE:BABA ) Approaching Double Bottom on Weekly Chart
#### Potential Double Bottom Formation for Alibaba
Investors tracking Alibaba Group Holding Limited ( NYSE:BABA ) should take note of a significant pattern forming on its weekly chart. The stock is approaching what appears to be a double bottom, a key technical pattern often associated with potential trend reversals. This pattern is identified by two distinct low points at a similar price level, separated by a moderate peak.
#### Key Level to Watch: $77.77
The critical level that defines this potential double bottom for Alibaba's stock is $77.77. This price point is where the two lows of the pattern are formed, serving as a pivotal level for future price action. I have set an alert for this price, closely monitoring the stock's movement as it approaches this key level.
#### Strategy Going Forward: Starter Position
Upon reaching or nearing the $77.77 level, the plan is to initiate a starter position in $BABA. This approach involves entering a smaller, initial investment, which allows for capitalizing on the potential upward reversal indicated by the double bottom pattern, while also managing risk.
#### What a Double Bottom Could Mean for NYSE:BABA
If Alibaba's stock indeed forms a double bottom at $77.77, it could indicate a bullish shift in investor sentiment. This pattern is often seen as a signal that the stock has found a strong support level and may be poised for a rebound. However, it’s crucial to await confirmation, typically seen as a significant move upwards from the $77.77 level, before considering it a firm bullish signal.
#### Investor Caution and Monitoring
As with all technical patterns, it’s important for investors to combine this observation with other market analyses and indicators. Setting a starter position allows for participation in potential upside while maintaining a cautious approach, ready to adjust based on further market data and the stock’s performance.
Is it finally a good time for BABA?I think that BABA has formed and inverse ascending triangle and it is at the last phase of its corrective painful phase.
BABA is really taking it's timeBABA is slowly accumulating inside the yellow channel. Once it decides to move should be explosive. The purple box will be the next support. 🧲
aaai #BABA needs to hold here - results 16thAlibaba still making higher swing lows on the daily. We recently broke out this falling wedge but have come back to retest the breakout. Important level to hold if the bulls want further upside. Results on 16th November could be a catalyst for a larger move
Can Alibaba double from here?The Chinese MNC had displayed its last big impulse move in Oct.2022.In this move(labeled wave 1) the Chinese giant gained 106% between Oct.2022 till Jan.2023.
Between Jan.2023 to May 2023 the stock got into wave 2 correction and corrected 61.8% of the wave 1 rally(the correction was an Elliot wave zigzag).
The stock displayed a bit of strength again on the completion of the Zigzag and managed to get a leading diagonal as the first leg of the bigger Third wave that is now anticipated of the stock.
The stock currently is at 80%retracement of the leading diagonal and 77.77$ level is a crucial support for the stock. The current corrective phase seems to lack one tiny leg to the downside(wave c of Z) and as soon as that is achieved the stock should only look North then from here all the way till 160$ mark.
Note*- The chart is based on personal observations/opinions. Kindly do your own research before taking up any trade.
BABA, I changed my mind!I wrote earlier that I was going to take a loss on my BABA jan Calls. Just as I was going to trade out of it, I took another look - here's my conclusion. Hard stop at 80.19 not a penny less otherwise I am keeping my position - STILL BULLISH!
BABA : Sell ideaSell idea on BABA as you see on the chart because we have the breakout with force the vwap indicator and the support line by a big red candle.Thanks!
BABA: sell ideaSell idea on BABA as you see on the chart because we have the breakout with force the support line by a big red candle with a large red volume.Thanks!
Will Alibaba return to its glorious days of 2015?If you have forgotten how Alibaba make its heydays in 2015, read here . Thereafter, two years later, the stock price simply rocket up its way from a low base of 56 to a superb high of 320 in 2020, a mere 5 years period.
Moving forward, I believe more upcoming unicorns especially from China will take even shorter periods , maybe 2-3 years to make this kind of huge returns.
The property market has been causing much unhappiness among the people of China despite the government announcing measures to prop it up (interest rates cut, lower downpayment,etc) Still, the people are hesitant and everyone is sitting on the fence hoping for more and better incentives from the government.
From the weekly chart, we can see multiple support at 81.58 price level , beginning from March 2022. It has been going sideways for more than 18 months without giving its investors much hope of a rally. But now, we are again near the end of the bearish trend and there lies a possibility of yet another breakthrough. Or, it could revisit the next support at the 56.66 price level.
I believe a bottom is nearing and I will be buying on weakness and pullbacks. Please DYODD
$BABA is building a figure for the future longNYSE:BABA shows a half-arranged shoulders for the next long line up.
Potential is to get 100% additional value from the investments to this company within a year.
NYSE:BABA ::96.09->189::+100%::End of 2023.
Does not constitute a recommendation.
#investing #stocks #idea #forecast #furoreggs
Please, subscribe and challenge my point of view )
BABA: Buy ideaOn BABA we have a buy idea as you see on the chart because we have the breakout with force the resistance line and the vwap indicator by a big green candle with a large green volume.Thanks!
BABA: Buy ideaBuy idea on BABA as you see on the chart because we have the breakout with force the resistance line by a big green candle with a large green volume.Thanks!
BABA: Sell ideaSell idea on BABA as you see on the chart because we have the breakout with force the vwap indicator and the support line by a big red candel with a large red volume.Thanks!
BABA: Sell ideaOn BABA as you see on the chart we will have a hight probability to have a downtrend if only if we have the breakout with force the vwap and the support line by a big red candle follow by a large red volume. But, in other hand, we can have a reversal trend if we have the breakout with force the resistance line by a big green candle folow by a large green volume.Thanks!
BABA, coming QR give positive outcome?Price was dropped more than 22% from 102.50
ROC showing a good momentum against prce.
It may pullback. But possible for it to form a first HL and swing higher?
When a stock / index has gone up substantially, we must be more care if we decide to get involve in it...
monitor closely and be agile....
we cannot PREDICT what definitely will happen ~ we can only RESPONSE to what we see!
Disclaimer: Mentioned stocks are solely based on own opinions for education and/or discussion purpose only. There's no buy and/or sell recommendation. Trading involve financial risk on your own. The author shall not be responsible for any losses or lost profits resulting from investment decisions based on the use of the information contained herein.
Alibaba Group Holding (NYSE:BABA) Has More To Do To GrowIn a perfect world, we'd like to see a company investing more capital into its business and ideally the returns earned from that capital are also increasing. If you see this, it typically means it's a company with a great business model and plenty of profitable reinvestment opportunities. Having said that, from a first glance at Alibaba Group Holding (NYSE:BABA) we aren't jumping out of our chairs at how returns are trending, but let's have a deeper look.
Return On Capital Employed (ROCE): What Is It?
Return on Capital Employed = Earnings Before Interest and Tax (EBIT) ÷ (Total Assets -
Current Liabilities) 0.09 = CN¥126b ÷ (CN¥1.8t - CN¥380b) (Based on the trailing twelve months to June 2023).
Thus, Alibaba Group Holding has an ROCE of 9.0%. On its own, that's a low figure but it's
around the 10% average generated by the Multiline Retail industry.
What The Trend Of ROCE Can Tell Us
There are better returns on capital out there than what we're seeing at Alibaba Group
Holding. Over the past five years, ROCE has remained relatively flat at around 9.0% and the
business has deployed 121% more capital into its operations. This poor ROCE doesn't inspire
confidence right now, and with the increase in capital employed, it's evident that the
business isn't deploying the funds into high return investments.
Long story short, while Alibaba Group Holding has been reinvesting its capital, the returns
that it's generating haven't increased. Since the stock has declined 44% over the last five
years, investors may not be too optimistic on this trend improving either. In any case, the
stock doesn't have these traits of a multi-bagger discussed above, so if that's what you're
looking for, we think you'd have more luck elsewhere.
Gigantic bullish divergence on the Alibaba chartAs you can see the angle of the divergence (the red trendlines) is very steep both ways, which means there is high volatility in this stock. I would not be buying here at this level unless it breaks the 100$ level and manages to hold it as support. It is almost overbought on the 4h00 so it would make sense for it to take a breather before trying to break the 100$ level which recently became resistance.
I will be buying shares of Alibaba upon bullish retest of the top channel at around 83-86$ (the yellow circle). First TP at 100$ and second one at 125$ and then 160-162$ for the gap fill.
To give a little extra perspective on why I'm taking this trade:
The Hang seng index (HSI) is also sitting close to very long term support trend line right now. China isn't going to let their tech sector crash and lose the long term support trend line as we saw a couple of months ago. As soon as that came close to happening during what seems like capitulation selling volume (on march 16th) the CCP started talking about easing regulations and then index moved from 18k to 22k almost instantly. So yeah, just like the FED, the CCP can decide to help the markets when they see key levels being breached. They understand the importance of economic growth and capital inflows.
For longer term swing trades I would look at the 200$ or 215$ levels to take some profits as well.
Good luck with your trades guys
$BABA - showing potentialNYSE:BABA Alibaba is once again showing potential. It is trading within a descending wedge and currently challenging the Point of Control (POC) resistance area.
Both the MACD and RSI are curling up, indicating the development of bullish momentum that might result in a change in the trend.
If it can break above the $89 level, there's potential for further upside.
Upside targets:
$96
$102
$120
Downside risk:
$84
