#MarketNews #BABA
PROSPECTS OF INVESTING IN ALIBABA STOCK
Alibaba has made public its Q2 2021 report with strong numbers. The growth rate did slow down, but the data is still impressive:
→ Revenue amounted to $31,865 million, an increase of 34% over the same period last year.
→ Net profit amounted to $6,728 million, which is 10% above the previous year’s numbers.
→ The number of active users of the Alibaba ecosystem worldwide has reached approximately 1.18 billion.
“Over more than twenty years of growth, we have developed a company that spans across both consumer and industrial Internet, with multiple engines driving our long-term growth,” said Daniel Zhang, chairman, and chief executive officer of Alibaba Group.
To invest in BABA stocks, use the services of a trusted broker like FXOpen.
Interestingly, the BABA stock market is currently in a downward trend, which can be explained by the US-China confrontation and the pressure of the Chinese Communist Party on the technology sector. Situationally, the price has come close to the lows of previous years (as shown on the chart). High volumes (see fig. 1) on the declines serve as a hint that panic is emerging in the market, but the absence of further bearish dynamics indicates that large interest is buying up shares at an attractive price.
By the way, in response to Alibaba’s solid earnings report, JPMorgan bank analysts raised the target level for BABA shares to $300 (yesterday's close was at $197.38).
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This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice.
PROSPECTS OF INVESTING IN ALIBABA STOCK
Alibaba has made public its Q2 2021 report with strong numbers. The growth rate did slow down, but the data is still impressive:
→ Revenue amounted to $31,865 million, an increase of 34% over the same period last year.
→ Net profit amounted to $6,728 million, which is 10% above the previous year’s numbers.
→ The number of active users of the Alibaba ecosystem worldwide has reached approximately 1.18 billion.
“Over more than twenty years of growth, we have developed a company that spans across both consumer and industrial Internet, with multiple engines driving our long-term growth,” said Daniel Zhang, chairman, and chief executive officer of Alibaba Group.
To invest in BABA stocks, use the services of a trusted broker like FXOpen.
Interestingly, the BABA stock market is currently in a downward trend, which can be explained by the US-China confrontation and the pressure of the Chinese Communist Party on the technology sector. Situationally, the price has come close to the lows of previous years (as shown on the chart). High volumes (see fig. 1) on the declines serve as a hint that panic is emerging in the market, but the absence of further bearish dynamics indicates that large interest is buying up shares at an attractive price.
By the way, in response to Alibaba’s solid earnings report, JPMorgan bank analysts raised the target level for BABA shares to $300 (yesterday's close was at $197.38).
⚠️
This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice.
#MarketNews #Stock #BABA
BABA NOW THE MOST-BOUGHT STOCK ON US EXCHANGES
The Chinese government is tightening the screws for large tech companies, attributing this to anti-competitive behavior and security risks in listing Chinese companies in the US. At the same time, Business Insider, citing Vanda Research, reports that retail purchases of US-listed Chinese stocks have reached their 5-year peak.
Vanda Research tracks retail activity across 9,000 individual US stocks and ETFs. According to its data, Alibaba shares became best-sellers in the US on Monday. Interestingly, the gigantic trading volume of Alibaba shares more than doubled that of Pfizer, the pharmaceutical giant whose COVID-19 vaccine, co-developed with BioNTech, was fully approved by the FDA on Monday.
If you would like to invest in BABA stocks, consider enlisting the services of a trusted broker like FXOpen.
On the backdrop of government pressure, BABA shares have entered a downtrend, dropping below the Covid low of 2020 this week. Apparently, investors saw the decline as an attractive investment opportunity to buy Alibaba stock. The WSJ surveyed 56 analysts, and 46 of them gave the stock a BUY rating.
⚠️
This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice.
BABA NOW THE MOST-BOUGHT STOCK ON US EXCHANGES
The Chinese government is tightening the screws for large tech companies, attributing this to anti-competitive behavior and security risks in listing Chinese companies in the US. At the same time, Business Insider, citing Vanda Research, reports that retail purchases of US-listed Chinese stocks have reached their 5-year peak.
Vanda Research tracks retail activity across 9,000 individual US stocks and ETFs. According to its data, Alibaba shares became best-sellers in the US on Monday. Interestingly, the gigantic trading volume of Alibaba shares more than doubled that of Pfizer, the pharmaceutical giant whose COVID-19 vaccine, co-developed with BioNTech, was fully approved by the FDA on Monday.
If you would like to invest in BABA stocks, consider enlisting the services of a trusted broker like FXOpen.
On the backdrop of government pressure, BABA shares have entered a downtrend, dropping below the Covid low of 2020 this week. Apparently, investors saw the decline as an attractive investment opportunity to buy Alibaba stock. The WSJ surveyed 56 analysts, and 46 of them gave the stock a BUY rating.
⚠️
This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice.
#MarketNews #BABA #Stoks
DALIO AND MUNGER BET ON CHINA
In his January 4 LinkedIn update, renowned investor Ray Dalio once again spoke against keeping cash and bonds amid government support for the economy.
“This printing of money and buying of debt assets has driven interest rates so low that cash and bonds are stupid to own,” Dalio said. “I think one should consider minimizing one’s ownership of cash and bonds in dollars, euros, and yen.”
Dalio’s interest in China and the country’s emergence as a world power is well-known; the investor considers the Chinese economy a healthier one.
Also on January 4, Reuters reported that Daily Journal Corporation, a publicly-traded company, newspaper publisher, and investment firm run by Warren Buffett's right-hand man, Charlie Munger, has nearly doubled its stake in Alibaba. The stake is now worth about $72 million.
Munger's prediction that stocks will rise is confirmed by technical analysis, as BABA stocks are nearing an important support line (1).
Interested in investing cash in Alibaba stocks, or the Hang Seng Stock Index? Consider enlisting the services of a trusted broker like FXOpen.
⚠️
This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice
DALIO AND MUNGER BET ON CHINA
In his January 4 LinkedIn update, renowned investor Ray Dalio once again spoke against keeping cash and bonds amid government support for the economy.
“This printing of money and buying of debt assets has driven interest rates so low that cash and bonds are stupid to own,” Dalio said. “I think one should consider minimizing one’s ownership of cash and bonds in dollars, euros, and yen.”
Dalio’s interest in China and the country’s emergence as a world power is well-known; the investor considers the Chinese economy a healthier one.
Also on January 4, Reuters reported that Daily Journal Corporation, a publicly-traded company, newspaper publisher, and investment firm run by Warren Buffett's right-hand man, Charlie Munger, has nearly doubled its stake in Alibaba. The stake is now worth about $72 million.
Munger's prediction that stocks will rise is confirmed by technical analysis, as BABA stocks are nearing an important support line (1).
Interested in investing cash in Alibaba stocks, or the Hang Seng Stock Index? Consider enlisting the services of a trusted broker like FXOpen.
⚠️
This forecast represents FXOpen Markets Limited opinion only, it should not be construed as an offer, invitation or recommendation in respect to FXOpen Markets Limited products and services or as financial advice
#BABA #Alibaba #commodities #marketanalysis #MarketNews #stockmarket
Alibaba (BABA) Shares Drop Approximately 10% Over the Week
Last Wednesday, the closing price of Alibaba (BABA) shares was $152.28, while the closing price yesterday was $135.59, marking a 2026 low.
The roughly 10% decline was driven by a combination of bearish factors, including:
→ Unexpected resignation of Lin Junyang (Justin Lin) – Lin led Alibaba’s AI project Qwen, a key LLM platform. According to Reuters, this is the third notable departure from Qwen in 2026, and Lin has not provided a reason.
→ Overall bearish trend in tech stocks – High capital expenditures combined with uncertainty over profitability have weighed on the sector. Alibaba previously committed at least CNY 380 billion (around $52 billion) for AI and cloud infrastructure investments over three years.
→ Pressure from US regulators – Reports indicate that Alibaba was added to a list of companies cooperating with China’s military, potentially complicating business. Although the listing was later removed from the US Federal Register, the attempt itself increases the risk of new sanctions from the administration.
→ Geopolitical tensions – With the threat of the Middle East conflict escalating into a wider war, financial markets see increased demand for safe-haven assets. Chinese tech companies are particularly exposed to these pressures.
Despite these challenges, technical analysis offers hope for the bulls.
Technical Analysis of Alibaba (BABA) Shares
Take a look at the most recent BABA candlestick – the closing price is well above the low, while trading volume has surged to the highest level since late January. This can be interpreted as a sign of demand preventing further price declines.
Looking at history confirms this observation. In late August, BABA shares broke through the descending trendline and, on extremely high volumes, began a run towards multi-month highs.
At that time, demand clearly dominated – bulls may gain confidence near the $130 mark and prevent a deeper drop in the stock.
Trade global index CFDs with zero commission and tight spreads*. Learn more about trading index CFDs with FXOpen. *Additional fees may apply.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. You can find the full disclaimer here: www.fxopen.com
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) Shares Drop Approximately 10% Over the Week
Last Wednesday, the closing price of Alibaba (BABA) shares was $152.28, while the closing price yesterday was $135.59, marking a 2026 low.
The roughly 10% decline was driven by a combination of bearish factors, including:
→ Unexpected resignation of Lin Junyang (Justin Lin) – Lin led Alibaba’s AI project Qwen, a key LLM platform. According to Reuters, this is the third notable departure from Qwen in 2026, and Lin has not provided a reason.
→ Overall bearish trend in tech stocks – High capital expenditures combined with uncertainty over profitability have weighed on the sector. Alibaba previously committed at least CNY 380 billion (around $52 billion) for AI and cloud infrastructure investments over three years.
→ Pressure from US regulators – Reports indicate that Alibaba was added to a list of companies cooperating with China’s military, potentially complicating business. Although the listing was later removed from the US Federal Register, the attempt itself increases the risk of new sanctions from the administration.
→ Geopolitical tensions – With the threat of the Middle East conflict escalating into a wider war, financial markets see increased demand for safe-haven assets. Chinese tech companies are particularly exposed to these pressures.
Despite these challenges, technical analysis offers hope for the bulls.
Technical Analysis of Alibaba (BABA) Shares
Take a look at the most recent BABA candlestick – the closing price is well above the low, while trading volume has surged to the highest level since late January. This can be interpreted as a sign of demand preventing further price declines.
Looking at history confirms this observation. In late August, BABA shares broke through the descending trendline and, on extremely high volumes, began a run towards multi-month highs.
At that time, demand clearly dominated – bulls may gain confidence near the $130 mark and prevent a deeper drop in the stock.
Trade global index CFDs with zero commission and tight spreads*. Learn more about trading index CFDs with FXOpen. *Additional fees may apply.
CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. You should consider whether you understand how CFDs work, and whether you can afford to take the high risk of losing your money. You can find the full disclaimer here: www.fxopen.com
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.
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