We looked at the charts of BABA on March 27th and wrote that, "BABA might have a brief pullback into the $190-$180 area and I would consider that a buying opportunity risking a new low close below $170." BABA did pullback as anticipated and now is at a new high for the move up from the March nadir. Let's check out the charts again.
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This reminds me of 1999 to 2000, but the big lesson during that time was that the crazy uptrend can persist much longer than seems reasonable.
While we face some absolutely insane moves, we have to ask: Where are the sellers?
All the current indicators from trend to momentum to price action sit in a bullish position as the stock breaks above resistance.
The spot market is above the $1,800 threshold.