$BABA Waiting for entry

Jun 14, 2021

I have noticed a lot of bullish sweeps lately trying to guess the bottom here. There is a descending wedge forming on the weekly chart that has become an issue if it continues to drop under the buy zone that I have set below. My buy zone is based on the retracement level that coincides with the highs in 2018. As these sweeps kept coming in, the 2022 LEAPS caught my attention. If BABA manages to break out, it will be interesting how price will hold these levels now that it seems that big accumulation is taking part. Also important to note that ADX is getting a strong sell signal whilst orderflow shows otherwise. IV is also the lowest it has been in the last 52 weeks, so a big move to either side could take place soon.