Chart of the Week: Alibaba
Hey everyone. Happy Wednesday. It’s time for our chart of the week, and this week we’re gonna be focusing on old friend of ours, Alibaba; symbol BABA. Let’s take a look at this chart it’s been pretty strong the last couple of weeks.
So as we notice as I put in a blue line over here, we see a nice uptrend of higher highs and higher lows. And that’s created a nice channel as well – nice uptrend channel. But we are still below the gap down from back in March, which came in after the earnings came out and the recent high of $147 – of course that’s not an all-time high.
But we like this uptrend, this nice surge in Alibaba. It’s kind of in the middle of this channel right now, and we think it could make a run up here – just continue making higher highs and higher lows through that channel and all the way up towards the $145 – $146 area.
Cloud is still red but it’s turning green. Look at this nice strength in the RSI here. MACD is on a buy signal. We have the Williams % R is up near an overbought reading – not quite there yet. So it’s still got a little more push to go – and even at the RSI, we’re at 60% on the RSI – has a little bit further to go before it gets overbought.
Money flow has been good too. The stock is above all the relevant moving averages. Can’t say that very well for many of these tech names right now. But Alibaba is certainly one to keep an eye on.
This is one that I have some calls on – longer-term calls on – in Alibaba. They do have earnings coming out, I think in a week or so. So if you have some of these calls like I do, make sure you trim back, take some profits on these and maybe ride some of these out or even roll them up, too. But I think Alibaba is gonna be a good one when the earnings come out next week.
Thanks very much for watching everyone, and I’ll see you guys next time.
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