Here is a long-term forecast on Alibaba Group
Holding stock (NYSE:BABA). This is a new market – one of the newest on earth
and the media is full of the hype. It is better to speculate on this market
with the aim of making long-term gain that is bigger than loss, while also
considering potential pullbacks along the way. It is important that you make
enough profits to cover the costs of trading; otherwise you would be fighting a
losing battle.
In the chart, the market made a futile attempt to
rally, but got pushed down a bit. Since then, the market has been in a kind of
consolidation, bringing no big loss to the bull or the bear. The conspirator
who dug the pit only dug a shallow one. The victim who fell into the pit has
not broken any limbs. We should be thankful for small mercies. The price is still within the 2 Trendlines,
but a break to the upside is more likely when the market begins to trend.
A break to the downside could be temporary, thus
turning out to be a false breakout. The RSI period 14 is below the level 40,
showing that the market is currently consolidating to the downside. In the long-term, bearish attempts my make
the price go towards the demand zones at 85.00 and 80.00. Meanwhile, bullish
effort my drive the price upwards, enabling it to reach the supply zones at
98.00 and 100.00 within the next several months.
This forecast is ended by the quote below:
“When it comes to money and investing, we're not always
as rational as we think we are - which is why there's a whole field of study
that explains our sometimes-strange behavior.” - Cathy Pareto
Azeez Mustapha
Market Analyst, Trading Signals Provider and Coach
Learn from the Generals of the Markets: Market Generals
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