Alibaba Group Holding Limited (NYSE:BABA) Outpaces Stock Market Gains

Alibaba Group Holding Limited (NYSE:BABA) Outpaces Stock Market Gains

Alibaba Group Holding Limited (NYSE:BABA) Outpaces Stock Market Gains

Alibaba closed at $181.83 in the latest trading session, marking a +0.48% move from the prior day. This change outpaced the S&P 500’s 0.37% gain on the day. At the same time, the Dow added 0.25%, and the tech-heavy Nasdaq gained 0.34%.

Prior to today’s trading, shares of the online retailer had gained 7.48% over the past month. This has outpaced the Retail-Wholesale sector’s gain of 1.66% and the S&P 500’s gain of 1.83% in that time.

BABA will be looking to display strength as it nears its next earnings release. The company is expected to report EPS of $1.07, up 17.58% from the prior-year quarter. Our most recent consensus estimate is calling for quarterly revenue of $13.50 billion, up 36.7% from the year-ago period.

Investors should also note any recent changes to analyst estimates for BABA. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company’s business outlook.

Overall, the bias in prices is: Upwards.

Note: this chart shows extraordinary price action to the upside.

The projected upper bound is: 192.43.

The projected lower bound is: 173.28.

The projected closing price is: 182.85.

Candlesticks

A black body occurred (because prices closed lower than they opened).
During the past 10 bars, there have been 5 white candles and 5 black candles. During the past 50 bars, there have been 30 white candles and 20 black candles for a net of 10 white candles.

Momentum Indicators

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.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 76.4966. This is not an overbought or oversold reading. The last signal was a buy 5 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 60.70. 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 sell 8 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 3. This is not a topping or bottoming area. The last signal was a sell 9 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 7 period(s) ago.

Rex Takasugi – TD Profile

ALIBABA GRP ADR closed up 0.860 at 181.830. Volume was 39% below average (neutral) and Bollinger Bands were 26% narrower than normal.

Open High Low Close Volume___
182.290 182.890 180.770 181.830 2,270,882

Technical Outlook
Short Term: Neutral
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 180.64 167.54 167.74
Volatility: 31 38 44
Volume: 2,669,312 3,143,499 4,159,584

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.

Summary

ALIBABA GRP ADR is currently 8.4% above 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 43 periods.

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