Bloomberg: Moonshot Used 20,000 Nvidia Chips via Alibaba

The news confirms strong demand for Nvidia chips, but this may already be priced in. Technical indicators are mixed: RSI is in neutral territory, MACD is negative but approaching its signal line, and the price is just above the 20-day moving average. In the short term, there is no decisive directional signal, so a neutral outlook prevails. A sideways movement is possible, but volume and overall market risk appetite will be decisive.

The news highlights Alibaba's significant investment in artificial intelligence infrastructure and its capacity expansion using Nvidia chips. This points to the growth potential of the company's technology and cloud divisions. Technical indicators are also positive; RSI is at 59 in neutral territory, MACD is above the signal line, and the price is above both the SMA20 and SMA50. In the short term, there is a possibility of continued momentum and an upward move. However, caution is advised given that the news may already be priced in and considering overall market risks.

The news highlights Alibaba's cloud division's extensive use of large-scale artificial intelligence infrastructure, which could positively impact the company's technology revenues. Technically, the RSI stands at 61, indicating strength but not overbought conditions, while the MACD remains above its signal line, supporting positive momentum. The price is trading above both the 20-day and 50-day moving averages, with a 4.7% increase over the last 24 hours. In the short term, this favorable news and technical structure may support continued upside, but caution against excessive optimism is advised. The market may have already priced in this development, hence the confidence level is maintained at moderate.