Alibaba: At An Important Inflection Point
Allow me an ever so brief digression. There are many other analysis methods out there. Some use technical indicators. Others use candlesticks. There are books written about the meanings behind the formation of these. What we find lacking in that certain viewpoint is that much information is lost inside the stick. The formation of the move up or down contains pertinent price action that will tell the properly trained analyst what is more likely to happen next. How does it do this?The market is fractal in nature. It also displays self-similarity at all degrees of its structure. These forms will repeat at the smaller and then the larger time intervals. “How” a stock or an index arrives at a certain place on the chart will tell us what the probable path going forward will look like. How does this help us in the BABA chart?