Here's Why $BABA Could Skyrocket Even Higher!
Analysis:
Looking at the dataset, it's evident that both the Macro PVVM and Micro PVVM scores for Alibaba (
BABA
) show an overall increasing trend over the examined period. The Macro PVVM went from a score of around 0.58 to approximately 54.24, demonstrating a significant uptrend. The Micro PVVM also moved from -53.71 to 40.23, showing a reversal from a bearish to a bullish momentum in the short term.
The close price of
BABA
has been generally increasing along with the PVVM scores, indicating that the bullish momentum has been affecting the stock's price positively.
Key Takeaways:
Trading Strategy:
Given the bullish trend and movement, it would be a good strategy to maintain a long position on Alibaba. However, traders should keep an eye on the PVVM scores. If there's a sudden drop, especially in the Micro PVVM, it could indicate a reversal in the short-term movement.
Since both Macro and Micro PVVM are in positive territory and increasing, traders should look for opportunities to enter long positions on pullbacks, as the overall trend is upwards. Keep in mind the rule that the best long entries are when both PVVMs are low and start showing signs of strengthening.
Looking at the dataset, it's evident that both the Macro PVVM and Micro PVVM scores for Alibaba (
BABA
) show an overall increasing trend over the examined period. The Macro PVVM went from a score of around 0.58 to approximately 54.24, demonstrating a significant uptrend. The Micro PVVM also moved from -53.71 to 40.23, showing a reversal from a bearish to a bullish momentum in the short term. The close price of
BABA
has been generally increasing along with the PVVM scores, indicating that the bullish momentum has been affecting the stock's price positively. Key Takeaways:
- There's an established bullish momentum, indicated by the upward trend in both the Macro and Micro PVVM.
- The Micro PVVM has crossed from negative to positive, suggesting that the bearish short-term movement seen at the beginning of the period has turned into a bullish one.
- The most recent close price of $98.33 is the highest over this period, further confirming the bullish sentiment.
Trading Strategy:
Given the bullish trend and movement, it would be a good strategy to maintain a long position on Alibaba. However, traders should keep an eye on the PVVM scores. If there's a sudden drop, especially in the Micro PVVM, it could indicate a reversal in the short-term movement.
Since both Macro and Micro PVVM are in positive territory and increasing, traders should look for opportunities to enter long positions on pullbacks, as the overall trend is upwards. Keep in mind the rule that the best long entries are when both PVVMs are low and start showing signs of strengthening.