Alibaba Group Holding Limited (NYSE:BABA) looking to curb travel expenses and postpone the recruitment
Alibaba Group Holding Limited recently announced that it is looking to curb travel expenses and postpone the recruitment of new personnel amid a weakening Chinese economy.
Reportedly, the company has delayed new hiring till April 2019. Moreover, to save on airfare, premium cabins will be offered to employees only on their fifth round-trip, which has an estimated travel time of more than 20 hours. Further, the taxis availed by employees till the airport will only be reimbursed when three employees are traveling together.
Notably, Alibaba’s aggressive stance will help it in curtailing unnecessary expenses. This move seems essential in view of the macro slowdown and ongoing U.S.-China trade war. In September 2018, Alibaba founder and CEO Jack Ma stated that the effects of the trade war could last for 20 years.
Moreover, the tech giant also lowered its revenue guidance by 4-6% for fiscal 2019. Management believes that the economic impact of the U.S.-China trade spat could affect the company’s top line in the near term.
Overall, the bias in prices is: Upwards.
The projected upper bound is: 162.89.
The projected lower bound is: 141.60.
The projected closing price is: 152.24.
A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 7 white candles and 3 black candles for a net of 4 white candles. During the past 50 bars, there have been 26 white candles and 24 black candles for a net of 2 white candles.
Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 64.0720. This is not an overbought or oversold reading. The last signal was a sell 0 period(s) ago.
Relative Strength Index (RSI)
The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 55.85. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 17 period(s) ago.
Commodity Channel Index (CCI)
The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is 52. This is not a topping or bottoming area. The last signal was a sell 0 period(s) ago.
The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 11 period(s) ago.
Rex Takasugi – TD Profile
ALIBABA GRP ADR closed down -4.870 at 152.150. Volume was 9% below average (neutral) and Bollinger Bands were 31% wider than normal.
Open High Low Close Volume___
154.300 155.440 150.210 152.150 4,144,539
Short Term: Overbought
Intermediate Term: Bullish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 152.18 148.26 170.18
Volatility: 36 46 43
Volume: 3,714,475 4,346,200 4,266,082
Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.
ALIBABA GRP ADR is currently 10.6% below its 200-period moving average and is in an upward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of BABA.N at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on BABA.N and have had this outlook for the last 5 periods.
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