Alibaba is one of the biggest online retailers in the world with a lock on the Chinese market. Since its IPO a few years ago, the stock has been a rollercoaster ride. After hitting lows last summer, it’s been edging higher, and for the past six weeks, it’s been in a very tight channel. The 105 area has shown pretty good resistance.
There is more work to be done here, and a few closes over 105 would be a good start. The highs last September are still in play near the 110 area. Beyond that are the old highs around 120, but first things first. I like the volume and price action; relative strength is improving but needs a lift. The MACD is near a bullish crossover here, and that may help thrust the stock higher.
Alibaba (NYSE:BABA) Video Chart Analysis
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Alibaba Group Holding Limited, through its subsidiaries, operates as an online and mobile commerce company in the People’s Republic of China and internationally. It operates Taobao Marketplace, an online shopping destination; Tmall, a third-party platform for brands and retailers; Juhuasuan, a sales and marketing platform for flash sales; Alibaba.com, an online wholesale marketplace; Alitrip, an online travel booking platform; 1688.com, an online wholesale marketplace; and AliExpress, a consumer marketplace. The company also provides pay-for-performance and display marketing services through its Alimama marketing technology platform; Taobao Ad Network and Exchange (TANX), a real-time bidding online marketing exchange in China; and data management platform through TANX for marketers to execute their campaigns with proprietary and tailored data. In addition, it offers cloud computing services, including elastic computing, database, storage and content delivery network, large scale computing, security, and management and application services through its Alibaba Cloud Computing platform.