Alibaba - week analysis .9 - is there a coming correction?
Good morning all.

This is the 1day chart.

Unlike other stocks, Alibaba got some great positive earning report that pushes the price from the ground at (147) to the All-Time-High at (167), So, will it continue or a correction awaits?

The situation of Alibaba is that it is now facing the uptrend resistance line at (167) and it shows some few drops there two times without any fall directly after the earning report (as usually happens), this indicates the presistance and the "Hold" action for the investors.

While may some investors may sell it or take the profits leaving Alibaba at the support (S1) on the chart at (159) which will be the ground of the next targets.

Otherwise, any break below (S1) may lead to further drops, but this is not likely to happen, for now, The next target will be around (175).

The overall signals is moderate show some negativity that will lead the price to fall down or at least show some static movements the next days.

The short term is filled by static movements and it is not likely to break out for new targets now.

Also, a drop toward (150) is expected but not now, it will take some time to confirm it and to go for such supports.

Still, the long-term is bullish with the indication of my special indicator, and it shows and reinforces the retrace of the price or some static too next days and weeks.

For the upcoming 3 months it will be fluctuating targeting the (175), the next quarter will be not so positive, and it is more likely to push the price within the area (175-180).

On the 1week chart, the long-term is still positive but with the highly negativity that will require a correction soon and it may be a hard one.

The target for the next 12 months will be around (200), it is not expecting to show a direct movement next months.

The Fibonacci indicator also gives the chance for a correction, and it is (50/50) to go up or down for now.

My advice is to buy at the supports (160) and below for long term.

Have green days.

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