I’m no fan of BABA, which I view as unlikely to rise above the corruption and shoddy business practices that we associate with China. Amazon it most surely is not. That said, and to be properly cynical about anything that happens on Wall Street, the weekly chart is now bullishly impulsive with the recent push above July’s 85.38 peak. I’d infer that the bear market is over and that, moreover, any further retracement should be regarded as a gift to bulls. I haven’t tracked the stock in a while, but if and when it generates an opportune buy signal on the daily or perhaps weekly chart, I will provide the technical guidance needed to exploit it. ______ UPDATE (November 16, 11:03 p.m.): If the rally begun on Friday hits 80.02, it would trip a theoretical buy signal. My suggestion is to put a mechanical bid there, stop 75.63, once it has been exceeded by at least $1.80 and at least three bars have elapsed on the pullback. This is a ‘mechanical’ trade, and you should attempt it only if you understand the tactic thoroughly.
