US Blacklists Alibaba and BYD Over Alleged Military Support

The news that the US has blacklisted Alibaba for allegedly supporting the military creates significant geopolitical risk for the company. Technical indicators also support this negative outlook: RSI at 26.5 is in oversold territory, MACD is below the signal line, and the price is below both the 20-day and 50-day moving averages. The 5.9% drop in the last 24 hours indicates intense selling pressure. In the short term, the downtrend is expected to continue due to the blacklisting effect, although the oversold territory could signal a short-term bounce.

The news concerns the US blacklisting of Alibaba on grounds of military support, which poses a significant geopolitical risk to the stock. Technical indicators already paint a weak picture; although the RSI at 26.8 is in oversold territory, the MACD remains below the signal line and is trending negative. The price is trading below both the 20-day (119.67) and 50-day (123.25) moving averages, with a 4.87% decline in the last 24 hours. Selling pressure is likely to persist in the short term, but the pace of decline may be limited due to oversold conditions.

The news indicates that BYD has been blacklisted by the US, which could create significant selling pressure on the stock. Technical indicators are already in oversold territory (RSI at 23.6), and the price is below both the 20-day and 50-day moving averages, confirming weak momentum. The MACD line is below the signal line and in negative territory, suggesting the downtrend may continue. In the short term, the combination of negative news flow and technical weakness poses a high risk of further decline. However, the oversold condition could also trigger short-term bargain buying, so the bearish outlook is strong but not certain.

The news that BYD has been blacklisted by the US is expected to negatively impact investor confidence. Technical indicators already show a weak outlook; the RSI is at 47, in neutral territory but with a downward bias. The MACD is below the signal line and approaching negative territory, indicating weakening short-term momentum. The price is trading below the 20-day moving average (87.49) and is close to the 50-day moving average (86.17); a break below this level could accelerate the decline. Selling pressure is likely at tomorrow's open due to the news, with the price potentially testing the $86 support level.