Possible bullish if break out of pattern
BABA is in a falling wedge, a bullish reversal pattern if and when breaks out of it.
At the moment there is a lot of strong resistance but if BABA somehow manages to go through them it would be extremely bullish for stock for several weeks.
Around 88$ there are 50 and 200 days MA which will act as resistance. There is also a smaller and bigger trend line from the falling wedge pattern. If and when BABA crosses both the trend line and close day above it and above BigRed aka 200 days MA it would trigger a massive buy signal.
Also if you don't enter on breakout (if there will be one) and price retest all those resistance levels which is the common way how the stock behaves you will have new opportunities during retesting resistance.
REMEMBER for the buy signal it needs first to break out of the pattern, and close above it, and would be nice if it happened on a bigger volume.
At the moment there is a lot of strong resistance but if BABA somehow manages to go through them it would be extremely bullish for stock for several weeks.
Around 88$ there are 50 and 200 days MA which will act as resistance. There is also a smaller and bigger trend line from the falling wedge pattern. If and when BABA crosses both the trend line and close day above it and above BigRed aka 200 days MA it would trigger a massive buy signal.
Also if you don't enter on breakout (if there will be one) and price retest all those resistance levels which is the common way how the stock behaves you will have new opportunities during retesting resistance.
REMEMBER for the buy signal it needs first to break out of the pattern, and close above it, and would be nice if it happened on a bigger volume.
Consistency is the key of success....