$BABA Long Ahead Of EarningsNYSE:BABA will have earnings soon and I think it will execute a breakout towards the indicated targets.
I would consider purchasing the 110 Calls with an expiration date of 2025-2-21, for a premium of approximately $3.30. Good time to buy call options!
(Credit for contract idea @TopgOptions)
BABA
BABA Alibaba Options Ahead of EarningsIf you haven`t bought BABA before the major breakout:
Now analyzing the options chain and the chart patterns of BABA Alibaba prior to the earnings report this week,
I would consider purchasing the 110usd strike price Calls with
an expiration date of 2025-2-21,
for a premium of approximately $3.30.
If these options prove to be profitable prior to the earnings release, I would sell at least half of them.
ALIBABA Ready to Explode! Big Gains on the Horizon!Alibaba (BABA) Technical Analysis - 15-Minute Timeframe - Long Position Setup
Entry Price: $99.13
Stop Loss (SL): $97.32
Target Levels:
TP1: $101.36
TP2: $104.96
TP3: $108.57
TP4: $110.80
Market Context and Sentiment: Recent developments indicate strong institutional interest in Alibaba, as evidenced by prominent fund manager Zhang Kun making Alibaba a substantial holding in his portfolio. This investment has bolstered positive sentiment around Alibaba, further supported by strategic economic measures favoring leading tech stocks in China.
Technical Indicators:
Trend Direction: Positive momentum is observed with price action above the Risological Dotted Trendline, signaling a bullish bias.
Volume: Current volume at 16.04M aligns with the recent positive market sentiment, with average 30-day volume standing at 26.70M. This moderate volume increase reinforces the long setup validity.
Analysis and Outlook: This setup presents a well-defined long entry with clear stop loss and target levels. The bullish institutional interest provides a strong fundamental tailwind, which could drive price action towards initial and extended targets. Should the price break through TP1 at $101.36 with sustained volume, a continuation towards TP2 at $104.96 becomes likely, with potential progression to TP3 and TP4.
Conclusion: Alibaba's current price action and market sentiment create a favorable environment for a long position. Close monitoring is advised, particularly as price approaches each target, with adjustments as necessary to secure gains.
JD.COM PT63$ after breaking the long term trendlineJD.com broke the minor trend lines and is heading towards the long term trendline. This level is also enforced by prior highs/lows that acted as pívot points.
If broken, I would expect to extend the final of the third Elliot leg to the 63$ area, then back test the broken trendline, and then attack the ATH again.
Please let me know your thoughts!
When Does a $433.5 Million Settlement Become a Victory for Both In the complex landscape of corporate litigation, Alibaba's recent settlement presents a fascinating case study of modern business strategy. While the Chinese e-commerce giant agrees to pay $433.5 million to settle shareholder allegations, this decision might paradoxically represent a win-win scenario for both the company and its investors. The settlement, ranking among the top 50 largest securities class actions in U.S. history, raises intriguing questions about the balance between corporate governance and strategic business decisions.
What makes this case particularly compelling is the mathematics of risk management. When faced with potential damages of $11.63 billion, Alibaba's decision to settle for $433.5 million reveals a sophisticated calculation of risk versus reward. This settlement, representing less than 4% of the maximum potential damages, demonstrates how modern corporations can transform legal challenges into strategic opportunities for resolution and renewal.
The implications of this settlement extend far beyond Alibaba's balance sheet. As global markets increasingly scrutinize tech giants' practices, this case sets a precedent for how international corporations might navigate the complex intersection of antitrust regulations, shareholder rights, and market competition. The resolution suggests that in today's business environment, the true measure of corporate success might lie not in avoiding challenges, but in transforming them into opportunities for organizational evolution and stakeholder alignment.
Alibaba - It Is So Predictable!Alibaba ( NYSE:BABA ) just rejected a major resistance:
Click chart above to see the detailed analysis👆🏻
A couple of days ago Alibaba stock perfectly retested a major previous resistance level after rallying +45% just within a couple of weeks. We can first see more bearish movement and maybe even a retest of the trendline breakout level before Alibaba will continue its overall uptrend.
Levels to watch: $80, $110
Keep your long term vision,
Philip (BasicTrading)
Alibaba (BABA) – Potential Rebound If Alibaba (BABA) returns to the green zone, there’s potential for a rebound, creating a good opportunity for a long entry. This zone is important as it coincides with the monthly open, and buyers are likely to step in at this level.
Strategy: I’ll be watching for a pullback to the green zone and will consider going long with confirmation of buying activity.
Alibaba should target 184 after rebound and beating ResistanceWeekly chart, the stock NYSE:BABA is trading in a symmetrical triangle, and is heading down to the support level.
I think the 100 or 89 levels will be strong enough to reverse the direction; to hit the resistance line R at around 117.
Closing above R for 2 weeks (above 118), the target will be 184, passing through the resistance levels 138 and 170
Consider the stop loss below 89
Alibaba - Finally The Trendline Breakout!Alibaba ( NYSE:BABA ) finally broke above the bearish trendline:
Click chart above to see the detailed analysis👆🏻
Alibaba is breaking out and the breakout is not unexpected whatsoever. For a long time, Alibaba has been hugging the resistance trendline and finally managed to fulfil its destiny. This could very well be the bottom of the bear market and the start of something big: new all time highs.
Levels to watch: $115, $80
Keep your long term vision,
Philip (BasicTrading)
Chinese Markets Come Roaring Back | +87% on $JD options trade! NASDAQ:JD Price action is a sign of strength today - whereas pundits said Chinese markets will open weak.
I love what we're seeing today and have updated our upcoming resistance points to consider profit taking.
They are as follows (est.): $46, $50, $60.
On continuing strong VOL, this name should continue to feel the love!
BABA weekly is now Uptrend.BABA (and other chinese stocks) continue with Bullish momentum
Successfully formed Higher High Higher Low and EMA20 crossing above EMA50 on weekly chart indicating long term Uptrend since April 2021.
Price structure formed Support and Resistant at every 20$ Range.
Breaks psychological 100 resistant with strong MCDX banker volume. Exposing next target at 120.
MCDX Retailer is insignificant.
Next Plan : Hold the position, look for further buy opportunity when pullback and retest at 100 zone.
BABA: What happens next after this insane rally?Alibaba despite today's correction, remains massively overbought both on the 1D technical outlook (RSI = 81.819, MACD = 5.940, ADX = 34.506) and on 1W (RSI = 75.158, MACD = 5.970, ADX = 33.938). As the price almost reached the 1W MA200, we expect a technical correction near the 1W MA50, which is the pattern the stock followed on its previous historic expansion in 2016-2017. We expect a similar Channel Up to dictate the trend and peak late 2025 - early 2026 (TP = 200.00).
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Alibaba Group (BABA) Share Price Rises Over 30% Since Early SeptAlibaba Group (BABA) Share Price Rises Over 30% Since Early September
As shown on the Alibaba Group (BABA) stock chart, the price surpassed $107 on the NYSE on Friday, after trading below $85 at the start of the month.
Bullish sentiment surrounding Chinese stocks is driven by the authorities' plans to stimulate the country's economy:
→ According to Benzinga, China’s Central Bank shared plans last week to lower the banks’ required reserve ratio (RRR);
→ The Central Bank also outlined further support measures for the struggling real estate market.
It appears that market participants expect these economic stimulus measures to benefit Alibaba Group (BABA).
Technical analysis of the Alibaba Group (BABA) stock chart reveals:
→ The historical high above $300 was reached in October 2020, after which bears dominated the market. Signs of bullish activity emerged between 2022 and 2024 as the stock fell to $70.
→ In 2024, the price broke through three descending trendlines (marked in red) drawn through key highs, and the price movements suggest a new upward channel is forming (marked in blue).
→ The RSI indicator is at a multi-month high, signalling strong overbought conditions, while Friday’s candle closed with a long upper wick (a sign of increased bearish activity).
Although the current bullish momentum may still have room to lift Alibaba Group (BABA) shares to the upper boundary of the blue channel, given the information above, there is a significant likelihood of a correction forming in early October.
This article represents the opinion of the Companies operating under the FXOpen brand only. It is not to be construed as an offer, solicitation, or recommendation with respect to products and services provided by the Companies operating under the FXOpen brand, nor is it to be considered financial advice.
Alibaba (BABA): Stagnation Phase or Momentum Boost?We are currently experiencing a phase of stagnation with Alibaba, as the stock remains in a new accumulation phase after breaking out of the previous one. The price might retest the Point-of-Control along with the trendline that was broken during the breakout, potentially providing a good momentum boost.
Despite the sideways movement, our position remains profitable. From a long-term perspective, our entry looks strong, with a 10% stop-loss from our entry point. The upside potential for Alibaba is significant, given how far the stock is from its historical highs.
The main concern with Alibaba is the jurisdiction risk, as it is a Chinese stock and subject to influences from China, which adds a layer of risk not present with American stocks. Nevertheless, as long as the price stays above $72.38, the outlook remains positive. Losing this level would be unfavorable and could indicate further downside risk.
In summary, we remain optimistic about Alibaba's potential, keeping a close watch on the key support levels to manage risk effectively.
$FXI / $SPX | You Should Be Tracking ThisWe've been full bull China since early spring of this year and this chart here represents our macro thesis. We've posted about AMEX:FXI before and it's potential swing move of 75-100%...
This chart here is AMEX:FXI vs SP:SPX on macro HTF. We believe this chart represents a macro bottom of china relative US equities.
Last night, China announced a 50 bps rate cut with plans for additional rates cuts in the near future, as well as lowering existing mortgage rates. We've been expecting some govt influence and we finally got it.
HUGE move printing and we think it's just the beginning. We've been big on NYSE:BABA and OTC:PNGAY all year and they've been two of the big winners today.
Currently printing a macro 3M RSI bottom and looking to confirm it after q4 candle print.
This is a move that will likely take the rest of the decade to fully play out.
Alibaba Stock Spike After Stimulus and Nvidia PartnershipAlibaba (NYSE: NYSE:BABA ) saw its American depositary receipts surge by 5% in premarket trading on Tuesday following significant news of China’s central bank stimulus and a strategic partnership with Nvidia, pushing optimism for the e-commerce giant's growth prospects. The People's Bank of China (PBoC) slashed key interest rates and injected liquidity into the banking system, providing a broad boost to Chinese stocks, with Alibaba at the forefront.
The whole story
Alibaba (NYSE: NYSE:BABA ) has positioned itself as a global leader, especially with its recent strides in AI and cloud computing. The company’s partnership with Nvidia to enhance AI capabilities for Chinese EV makers like Li Auto, Great Wall Motor, and ZEEKR highlights its ambitions to dominate the rapidly evolving autonomous driving space. This partnership is seen as particularly strategic given U.S. sanctions that limit China’s access to advanced semiconductor chips. By integrating its large language models (LLMs) with Nvidia’s Drive AGX Orin platform, Alibaba seeks to power next-generation in-car AI technologies.
In addition, Alibaba’s continued AI expansion is bolstered by its release of over 100 open-source AI models. These tools democratize access to advanced AI technologies, benefiting small- to medium-sized businesses (SMBs) and helping them compete more effectively in the digital commerce space. Alibaba’s focus on AI not only positions it well in the global tech landscape but also diversifies its revenue streams beyond e-commerce.
Moreover, Alibaba’s strong shareholder yield is further evidenced by its aggressive stock buyback program. In a recent filing, Alibaba revealed that it had repurchased $275 million worth of stock in just one week, signaling management’s confidence in the company’s long-term value. A discounted cash flow (DCF) model indicates Alibaba is currently undervalued by nearly 40%, suggesting potential annual returns exceeding 15%, making it an attractive long-term investment.
Technical Analysis Outlook
From a technical standpoint, Alibaba’s stock is showcasing a classic bullish cup and handle pattern on the daily charts, indicating a possible continuation of the upward trend. The recent 5% surge in premarket trading further emphasizes this pattern, particularly as the handle formation has completed, setting the stage for a potential breakout.
The Relative Strength Index (RSI) currently sits at 69, approaching the overbought region. While this could suggest a short-term cooling-off period, it also reinforces the strength of the current upward momentum. With Alibaba trading above all its major moving averages, the bullish momentum looks well-supported.
Additionally, as China’s economy receives stimulus support ahead of its National Day Holiday, investor sentiment remains positive. The People's Bank of China’s rate cuts aim to revive domestic growth, and Alibaba stands to benefit as one of China’s leading tech giants.
Conclusion:
Alibaba’s solid fundamentals, strategic partnerships, and promising technical indicators make it an attractive stock to watch. The confluence of bullish signals—strong buybacks, AI expansion, and macroeconomic tailwinds—suggests the potential for significant upside. Investors should keep an eye on the cup and handle breakout, as a move above resistance could trigger further gains, especially with the stock trading above key moving averages. With growing confidence in China’s economic stimulus measures and Alibaba’s strategic moves in the AI and EV space, the stock is well-positioned for continued growth.
Key Levels to Watch:
- Resistance: $100
- RSI: 69 (approaching overbought territory)
- Cup & Handle breakout confirmation level: Above $100
Alibaba’s forward-looking strategies and market sentiment hint at a prosperous run, making it a must-watch stock in the coming days.
Alibaba Accelerates AI Push with Over 100 Open-Source ModelsIn a bold move that underscores its commitment to innovation, Alibaba (NYSE: NYSE:BABA ) has unveiled over 100 new open-source artificial intelligence models, including a cutting-edge text-to-video generation tool. As the tech giant seeks to outpace both domestic and international rivals, this new release reflects its ambition to lead the global AI race.
AI Innovations to Revolutionize Industries
Alibaba's new models, part of its Qwen 2.5 family, boast advanced capabilities in mathematics, coding, and language comprehension. These models are designed to support industries such as automotive, gaming, and scientific research. They mark a major milestone in the company's ongoing efforts to integrate AI into multiple sectors, positioning itself as a key player in the AI ecosystem.
What sets these models apart is their open-source nature, a strategic move that allows developers, researchers, and companies to build their own generative AI applications without the need for costly training. With over 40 million downloads of previous versions, Alibaba's decision to open-source these models is expected to broaden the reach and influence of its AI offerings globally.
The launch of the text-to-video generation tool is another exciting development. This tool allows users to input a prompt and have AI create a video, similar to OpenAI's Sora. Such advancements have the potential to revolutionize content creation, marketing, and entertainment, and further cement Alibaba's standing in the AI space.
Competing with Global Titans
Alibaba (NYSE: NYSE:BABA ) faces stiff competition from domestic rivals like Baidu (BIDU, 9888.HK) and Huawei, as well as U.S. tech giants such as Microsoft and OpenAI. Unlike Baidu and OpenAI, which rely on a closed-source approach, Alibaba (NYSE: NYSE:BABA ) has adopted a hybrid model that combines both proprietary and open-source AI development. This strategy allows the company to cast a wider net and attract a more diverse user base, while maintaining control over its top-tier proprietary models.
Among its proprietary models, Qwen-Max 2.5 stands out. This model, which is not open-source, has been touted as surpassing rivals such as Meta’s Llama and OpenAI’s GPT-4 in areas like reasoning and language comprehension. This positions Alibaba to compete directly with the world's most powerful AI systems.
Driving Growth in Cloud Computing
Alibaba’s AI push is also expected to boost its cloud computing division, a sector in which the company has traditionally lagged behind global leaders like Amazon and Microsoft. However, with its new suite of AI models and tools, Alibaba Cloud is poised to attract a broader customer base, both inside and outside of China.
Eddie Wu, the CEO of Alibaba, highlighted the company's commitment to AI and cloud computing in a recent statement. "Alibaba Cloud is investing, with unprecedented intensity, in the research and development of AI technology and the building of its global infrastructure," Wu said. His leadership comes during a time of significant restructuring at Alibaba, as the company seeks to rejuvenate growth amidst rising competition and a slower Chinese economy.
Technical Outlook for NYSE:BABA Stock
The positive sentiment surrounding Alibaba’s AI advancements has already had a noticeable impact on its stock. As of today, NYSE:BABA is up 4.5% in premarket trading, showing signs of strong investor confidence.
From a technical perspective, NYSE:BABA ’s stock is forming a bullish “cup and handle” pattern on its daily chart, which is often considered a powerful reversal indicator. If the stock reaches the pivot point set at the resistance zone, this could further accentuate the pattern. With the Relative Strength Index (RSI) currently at 57, the stock appears primed for a potential breakout.
The convergence of strong technical indicators, such as the cup and handle pattern, and positive fundamentals—namely the release of Alibaba’s AI models and tools—suggest that NYSE:BABA could be poised for significant gains in the near future.
Final Thoughts
Alibaba's strategic investments in AI and cloud computing are laying the groundwork for long-term growth. By embracing open-source AI development and introducing cutting-edge tools like text-to-video generation, the company is positioning itself to become a global leader in the AI space. For investors, Alibaba’s stock presents a compelling opportunity, especially given its recent technical setup and the promising growth prospects of its AI-driven initiatives.
As the competition in AI continues to heat up, Alibaba (NYSE: NYSE:BABA ) is proving that it is not just keeping pace—it’s setting the standard for what’s possible in the next generation of technology.
Why would it hold? BAIDU Big LevelChina stocks have been beaten up in recent years as the US equities leave them in their wake.
From hearing NVDA is larger than the entire china equity market, to China will always be in a bear market…are we finally into enough of support to see a material rally?
BIDU is hitting a monthly support . This also happens as the US markets could be running into a distribution phase.
Will the US Dollar staying below $102 help this emerging market company?
Alibaba: Cheap PricesAlibaba continues to position itself as a dominant force in e-commerce, cloud computing, and international growth. With new developments and expanding global influence, the company offers significant upside potential for investors & business owners and consumers. NYSE:BABA
[Financial Performance:
Revenue Growth: Alibaba reported a 5.9% year-over-year increase in revenue, reaching ¥950.25 billion for the 12 months ending June 2024. This growth is driven by robust performance across its core e-commerce platforms and rapid cloud computing expansion
Cash Flow: Alibaba has demonstrated a solid cash flow of $11.04 per share, with a price-to-cash-flow ratio of 7.68, reinforcing its ability to maintain liquidity and pursue investments
Cloud Computing and E-commerce:
Cloud Business Expansion: Alibaba Cloud continues to expand rapidly, now accounting for a significant share of revenue. It remains a strong leader in China, with international expansion efforts helping it challenge other global cloud providers
International Growth: The company is gaining traction outside of China, leveraging platforms like Lazada in Southeast Asia, a key driver of international growth
Technical and Market Analysis:
Stock Performance: As of September 12, 2024, BABA trades at $85.39, representing a 10.4% gain year-to-date. Despite recent fluctuations, analysts remain optimistic about its future performance
Price Target: Analysts have set a consensus price target of $107.61, suggesting a strong upside potential of over 20%. BABA's current valuation at a P/E ratio of 18.93 remains attractive, signalling room for growth
Strategic Outlook:
AI Investments: Alibaba's investments in AI are expected to enhance its cloud offerings and improve the efficiency of its e-commerce platforms, making it a leader in innovation
Long-Term Potential: Despite regulatory challenges and geopolitical risks, Alibaba's strong financial position and focus on international markets make it a compelling investment for those seeking long-term value.
ATH? Lol.
$84.70 NYSE:BABA
Alibaba - The Bleeding Is OverNYSE:BABA dropped roughly -75% after it broke the long term trendline towards the downside back in 2021 before it found some strong support at a previous horizontal support level.
Click chart above to see detailed analysis 👆🏻
Bulls are still not giving up on Alibaba and after the strong retest and reversal of the all time low back in 2022, Alibaba managed to consolidate and stop the agressive downtrend. If Alibaba actually manages to break back above the confluence of resistance, this stock is actually back to a bullish market and we could see the beginning of a new uptrend and maybe even new all time highs.
Levels to watch: $81
Keep your long term vision,
Philip - BasicTrading