S&P 500 Market Outlook: Neutral & Improving
Bullish Trade: BABA $162.38 – Consumer Discretionary
The bullish DailyPlay we chose for Friday, Aug 27th is Alibaba (BABA). BABA is part of the Consumer Discretionary Sector (XLY). XLY has declined 4.69% higher over the past month and its 1m and 6m trend turned bearish and neutral on Aug 23rd while bouncing higher off its $116 support level.
Alibaba’s 1m and 6m trend turned bearish on Aug 23rd and recently bounced higher off its $160 support level. With a technical score of 8 (out of 10), BABA is a strong stock that will likely continue higher.
As a stop loss, if BABA was to trade below $160 for multiple days, this would invalidate our analysis and suggest cutting losses on the trade.
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