Will Alibaba continue to keep its upward trend in the future month?
2/21/2025 06:27pm
**Alibaba's continuation of an upward trend in the future months is uncertain**. While the company has recently reported better-than-expected fourth-quarter results, driven by strong revenue growth across its core businesses, several factors suggest caution:
1. **Current Price Trend**: The stock is between narrow resistance levels and wide resistance levels, indicating a price swing rather than a clear trend. The forecast advises a bearish trend with a sell advice, suggesting potential downward pressure.
2. **Support and Resistance Levels**: Alibaba's current price is between narrow and wide resistance levels, which may limit upward movement. The support level is at $78.93, and the resistance level is at $117.25, with a narrower resistance at $130.02.
3. **Market Sentiment**: Despite the recent positive earnings report, market sentiment and analyst expectations are cautious. The forecast for the next few days shows a continuation probability of only 67%, with a clear trend expected for 27 days and unclear trend expected for 1 day.
4. **Forecast Price**: The price forecast for the upcoming days shows a general upward trend, with prices ranging from $123.31 to $129.28 over the next few days. However, this does not necessarily indicate a sustained upward trend.
5. **Strategic Priorities**: Alibaba has announced plans to invest more in its core businesses of e-commerce and AI-powered cloud computing, which could drive long-term growth. However, the effectiveness of these investments in maintaining an upward trend is uncertain.
In conclusion, while Alibaba has had a positive performance recently, the likelihood of continuing this trend is not high, and investors should be cautious. The stock's recent surge has been driven by strong revenue growth and strategic priorities, but the forecast for the next few days suggests a bearish trend. Therefore, it is advisable to sell, and the stock has a historical win rate of 65.19% for this type of forecast.