how to trade Alibaba after the drop
$Alibaba(BABA)$ suffered after the earnings. with a drop of over 15% in the last 5 days, there would be concerns even for the strongest of Alibaba fans. Revenue Growth of 29% yoy is one of the few good news but the costs of revenue and equity loss are concerns.
after going through the earnings, the fundamentals of Alibaba remain sound.
As price is the function of demand & supply, I prefer to look at charts than try to guess the price of bottom. the difference could be catching a falling knife.
My trade set up with be focused on reversal using 1 Day chart MACD indicator. this is a lagging indicator but can be a more prudent approach. the reversal may happen at end of November or early December pending any more black swan events and news. I rather buy on a higher price on the way up than to be part of the dropping price. the recovery will take time and there are worthy competitors like $JD.com(JD)$& $Pinduoduo Inc.(PDD)$. With Alibaba on track to reach 2 billion users target, the coming earnings can help the company bring back confidence.
the risk-reward may not fit into everyone's strategy. time in the market is more important than timing the market. let us research before investing as the time horizon is longer time frame.
免责声明:上述内容仅代表发帖人个人观点,不构成本平台的任何投资建议。
buy up ,short down.
https://www.laohu8.com/m/post/876667040?lang=en_US&invite=Q6H7G3
哈哈