Yesterday, Alibaba shares $BABA-W(09988)$ tumbled 6% to close below the key HKD100 level to HKD 97.35
It was the stock's largest price fall in 2 months and its lowest closing price since 7 July 2026
⚠News of the Chinese market regulators' summon of major e-commerce platforms including Alibaba on Wednesday, contributed to the sell-off
Bloomberg reported that the meeting was to address tighter product-quality controls and stronger consumer protection, as well as misleading advertising issues
In other news this week, Alibaba, Tencent, and ByteDance were reported to have jointly ordered over 3 million Nvidia RTX PRO 5500 GPUs worth >$35 billion, a positive AI demand signal
Bloomberg also reported on Monday that Alibaba is one of the investors of Chinese Robovan maker Neolix Technologies' recent USD400 million capital raising to fund its global expansion
🚨Following yesterday's share price plunge, Alibaba is now trading further below its 50-day (HKD 110.9) and 200-day (HKD 125.9) moving averages
Its 52-week low at HKD 88.65 may be a possible support to look out for
The stock had rebounded 46% in the next 1.5 months from its HKD 88.65 closing on 26 Jun to HKD 130.3 on 11 Aug 2026
Investors keen to trade a potential rebound of Alibaba shares can consider trending $Alibaba MB eCW270302(QVYW.SI)$ (https://warrants.com.sg/tools/livematrix/QVYW) which fell 26.8% yesterday to SGD 0.030 given Alibaba's 6.1% fall
While investors who are bearish on Alibaba shares from current levels can consider trending put warrant $Alibaba MB ePW270202(5B6W.SI)$ (https://warrants.com.sg/tools/livematrix/5B6W) which rose 30.6% to SGD 0.047 on yesterday's share price fall
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