Alibaba stock upgraded to Sell Candidate.StockInvest.us, 3 months ago
The Alibaba stock price gained 1.96% on the last trading day (Monday, 23rd Aug 2021), rising from $157.96 to $161.06. During the day the stock fluctuated 5.67% from a day low at $152.80 to a day high of $161.47. The price has fallen in 8 of the last 10 days and is down by -17.51% for this period. Volume has increased on the last day along with the price, which is a positive technical sign, and, in total, 17 million more shares were traded than the day before. In total, 88 million shares were bought and sold for approximately $14.15 billion.
On August 20, 2021 "Erste Group" gave "" rating for BABA. The price target was changed from $160.55 to 6.8%.
The stock lies in the lower of a very wide and falling trend in the short term, and this may normally pose a very good buying opportunity. If the lower trend floor at $157.32 is broken, it will firstly indicate a stronger fall rate.Given the current short-term trend, the stock is expected to fall -16.40% during the next 3 months and, with a 90% probability hold a price between $131.52 and $171.51 at the end of this 3-month period.
A buy signal was issued from a pivot bottom point on Friday, August 20, 2021, and so far it has risen 1.96%. Further rise is indicated until a new top pivot has been found. Volume is rising along with the price. This is considered to be a good technical signal. Some negative signals were issued as well, and these may have some influence on the near short-term development. The Alibaba stock holds sell signals from both short and long-term moving averages giving a more negative forecast for the stock. Also, there is a general sell signal from the relation between the two signals where the long-term average is above the short-term average. On corrections up, there will be some resistance from the lines at $171.00 and $196.14. A break-up above any of these levels will issue buy signals. Furthermore, there is currently a sell signal from the 3 months Moving Average Convergence Divergence (MACD).
Alibaba finds support from accumulated volume at $160.55 and this level may hold a buying opportunity as an upwards reaction can be expected when the support is being tested.
This stock may move much during the day (volatility) and with a large prediction interval from the Bollinger Band this stock is considered to be "high risk". During the last day, the stock moved $8.67 between high and low, or 5.67%. For the last week, the stock has had a daily average volatility of 4.50%.
Alibaba is oversold on RSI14 (14). Some stocks may fall long and hard while being oversold on RSI, but stocks that are heavily oversold on RSI often pose good re-bounce chance and played well it can be a buy candidate.
Alibaba holds several negative signals and is within a very wide and falling trend, so we believe it will still perform weakly in the next couple of days or weeks. We therefore hold a negative evaluation of this stock.We have upgraded our analysis conclusion for this stock since the last evaluation from a Strong Sell to a Sell candidate.Check full Alibaba forecast and analysis here.