Chinese technology stocks have asserted cyclical uptrends over the past year, joining U.S. tech names in the artificial intelligence bull market. One example is Alibaba (BABA) , which is in a bullish turnaround phase, evident in the rounded bottom that has formed on the chart since the stock bottomed in late 2022. Long-term momentum is positive for BABA per trend-following metrics like the monthly MACD and the 12-month moving average. BABA has also cleared the lower boundary of the monthly cloud model in a new bullish long-term catalyst. After a strong start to the year, BABA entered a corrective phase in February within the context of its cyclical uptrend. The correction appears to be over per a new weekly MACD buy signal, which marks a meaningful bullish shift in intermediate-term momentum. An intermediate-term upside objective is a 38.2% Fibonacci retracement level, near $155. The ratio of BABA versus the S & P 500 has a similar bullish shape as price, with higher highs and high lows supported by the rising 40-week MA. This supports additional outperformance from BABA, and we can expand this to China technology over U.S. technology looking out into early 2026. The short-term technicals are also bullish for BABA, supporting a near-term rally. Unlike many U.S. technology stocks, BABA is not overstretched in the near term. The daily stochastics have a short-term oversold upturn after healthy consolidation above the 50-day MA near $117, which is initial support. The setup supports a push towards resistance from February, near $143. Overall, Chinese technology stocks such as BABA appear well positioned across timeframes in both absolute and relative terms. —Katie Stockton with Will Tamplin Access research from Fairlead Strategies for free here . DISCLOSURES: None. 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Positive momentum for this Chinese tech stock is picking up, says Katie Stockton
