Lower gap was filled on the daily chart, below 83, and price made a quick move higher (buyers came in). I like RSI here on the 30min chart because it made a strong move over 50, pulled back to retest it, and is higher. There were two 30min candle closes at 85.89, which is why I am using this as my stopping price.
I am looking for daily stochastic %K to round up over 20 soon with a higher daily close. This will create a better bullish setup for a swing trade.
I will take profits today at least partially. For a swing, allow time because overnight changes are unpredictable. China's market made a sharp drop due to Covid lockdown concerns, which adds to a beneficial backdrop for buyers coming back into this stock.
I am looking for daily stochastic %K to round up over 20 soon with a higher daily close. This will create a better bullish setup for a swing trade.
I will take profits today at least partially. For a swing, allow time because overnight changes are unpredictable. China's market made a sharp drop due to Covid lockdown concerns, which adds to a beneficial backdrop for buyers coming back into this stock.
Trade active:
BABA barely dipped under 85.89 on the FB fake news reaction, but closed over. Price finally just broke over vwap 86.83 and on 30min chart you can see lots of buying volume over this past few days. 10MA has crossed over 20MA and both are rounding upwards.
Trade closed manually:
Kept this a day trade to increase cash in account - sold calls as price was over 88.