$BABA, $AMZN 's dirty little secret.

20. Apr. 2022

BABA
https://www.tradingview.com/x/KM9iMAbx/

Anyone paying attention to BABA?
Are you considering buying into the AMZN stock split?
Are you concerned about chinese stock delisting?

Geopolitics, Index fund Managers, lobbying, market reset by the FED's and technical analysis (the psychology of the investor) have a lot to do with what happens in the future.

Did you know that as of 2021, China-based sellers represented 75 percent of new sellers on Amazon, according to a report by Marketplace Pulse. This marks a significant increase from 47 percent in the previous year.

This large segment of China-based sellers on Amazon has not yet impacted the gross merchandise volume (GMV) market share. Domestic sellers are responsible for most of the total sales.

Three-quarters of new sellers in the top four core Amazon markets — U.S., UK, Germany, and Japan — are based in China. That percentage is the calculated average of the four marketplaces, according to Marketplace Pulse analysis of more than 40,000 sellers that joined those Amazon marketplaces so far in 2021.

So what does this mean for the future of AMZN prices?

Simply, if BABA gets delisted; the revenge from the Chinese government will be major; you think logistical issues, trucker shortages, and inflation is affecting prices? You've not seen nothing yet!

My assumption is that the market reset is going as planned with major impact on Chinese stocks to limit the momentum of Chinese GDP (#2) against the U.S. (#1).

The U.S. needs China just as much China needs the U.S. so the lobbying power of AMZN and the rest will ensure the continuity of Chinese presence in the U.S. (those max profits are critically needed).

Oooh before I forget, technical analysis:

Daily Chart

EMA (Exponential Moving Average): 20/50/100/200 EMA (everyone and their mama) are pointing downwards ! This spells bad news, especially going into May (a slow market month)

TTM Squeeze: Squeezing to the bottom; momentum to the downside for both AMZN and BABA.

Fib Levels: BABA - with the current red candle crossing below the .618, there is very high probability that the price action will aim for the 1 fib. This will take us to the previous support and low of $73.28 or a possibility of going below that.

Candle Stick: Summary of last 5 candles equate to a bearish movement. The last pairs look like a Bearish engulfing

Pattern: Down by the sea ... off to the Falling Wedge for both BABA and AMZN

News: Do I need to add more to the above? Well, with NFLX taking a whooping on recent price increase policy, do you think AMZN may face the same fate?

History: The last 2 earnings have resulted in a downward trend even with great numbers. Everyone and their mama is talking about this stock...

Company is worth Trillions and the consumer base love them... hmm... I really need to be buying the bottom.