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Chinese e-commerce giant Alibaba is making swift moves to list its shares on the Hong Kong Stock Exchange. However, amidst high demand, Alibaba has planned to close its books early for institutional investors, reports CNBC.

As per the report, the e-commerce giant plans to close its books by 12 PM ET on Tuesday, November 19. The sources familiar with the matter said that the book’s closure will happen half-day before the earlier schedule. This is clearly indicative of the fact that investors are eager to grab the company shares once they’re available in the secondary market.

One of the sources said:

“The book is well-covered. The international offering received strong feedback.”

However, an official spokesperson from Alibaba has declined to comment on this matter.

Alibaba’s Stock Distribution

The Chinese e-commerce giant is planning to raise around $13.8 billion from the open market. As decided earlier, Alibaba will be issuing 500 million new ordinary BABA shares in addition to 75 million “greenshoe” options. With this, the underwriting banks can sell more shares than the original amount.

Of the 500 million shares issued, a very small percentage i.e. 12.5 million will be available for retail investors. However, Alibaba has the potential to increase the retail offering to 10% of the total shares issued i.e. up to 50 million shares.

Alibaba has previously said that the retail investors will be getting its shares at no more than 188 Hong Kong dollars i.e. 24 USD. But the rest of the shares for the institutional investors are likely to be priced higher than this.

This is certainly not Alibaba’s first IPO listing outside China. Five years back, the Chinese e-commerce giant successfully made its way to the New York Stock Exchange. Since its 2014 IPO, the company has received a massive response from U.S. investors. In fact, this year itself, Alibaba shares are 36% up, as the company continues to give solid quarterly results.

In its previous report, CNBC wrote:

“With a Hong Kong listing, the Hangzhou, China-based firm will move closer to home, potentially giving investors in the world’s second-largest economy more of a chance to buy shares.”

There is no doubt that Alibaba is all set for a massive Hong Kong listing as the company looks to attract more investors from foreign markets.

Bhushan Akolkar , 2019-11-19 13:14:18 ,

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While Bitcoin’s price seemingly moves without rhyme or reason — collapsing by dozens of percent and embarking on face-melting rallies on a whim — the cryptocurrency market is filled to the brim with fractals.

Related Reading: Analyst: Bitcoin Price Likely to Fall to Low-$8,000s as Chart Remains Weak

A brief aside: A fractal, in the context of technical analysis and financial markets anyway, is when an asset’s price action is seen during a different time. This form of analysis isn’t that popular, but it has proven to be somewhat valuable in analyzing Bitcoin.

One recent fractal popularized by a well-known cryptocurrency trader is implying that BTC is going to return to the low-$7,000s in the coming days.

Bitcoin Fractal Implies Retracement to Low-$7,000s

A well-known crypto trader going by “Tyler Durden” on Twitter recently posted the chart below, which shows that a Bitcoin price fractal may be playing out. The fractal has four phases: horizontal consolidation marked by one fakeout, a surge above the consolidation phase, a distribution, then a strong drop to fresh lows.

If the fractal plays out in full, BTC could reach the low-$7,000s again, potentially as low as $7,100. This would represent a 20-odd percent collapse from the current price point of $8,800.

It isn’t only a fractal that is hinting Bitcoin has the potential to visit its lows. As we reported on Saturday, Bloomberg believes that if the GTI Vera Convergence Divergence Indicator flips red, a downtrend could push the cryptocurrency back to $7,300.

Related Reading: Stephen Colbert Pokes Fun at Bitcoin in Monologue: Mainstream Gone Wrong?

Can Bulls Step In?

But again, many believe it is irrational to have such bearish interpretations of the cryptocurrency’s chart at the moment. As reported by NewsBTC earlier, Popular crypto trader Mayne recently noted that the “people waiting for $6,000” are irrational. He quipped that Bitcoin retracing and consolidating after its fourth-biggest bull move in history ($7,300 to $10,500, a 42% gain) is perfectly par for the course, but noted that it’s totally possible we can go lower from $8,800.

The medium-term technicals support this.

Trader and CoinTelegraph contributor FilbFilb found that by the end of November or start of December, the 50-week and 100-week moving averages will see a “golden cross,” which he claims is far more significant” for the Bitcoin market that other technical crosses.

Also, a Bitcoin price model created using Facebook Prophet machine learning found that the leading cryptocurrency is likely to end the year at just over $12,000. What’s notable about this model is that it called the price drop to $8,000 months in advance, and forecasted a ~$7,500 price bottom for BTC.

To put a cherry on the cryptocurrency cake, Crypto Thies observed that when Bitcoin bottomed at $7,300, it bounced decisively off the 0.618 Fibonacci Retracement of the move from $3,000 to $14,000, which correlates with the two-week volume-weighted moving average. He added that summer 2019’s consolidation was marked by Bitcoin flipping major resistances into support levels, implying that a bullish reversal and subsequent continuation is likely possible in the coming weeks.

Featured Image from Shutterstock

Nick Chong , 2019-11-10 12:00:38

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