Shake-Up In The C-Suite Rattles Alibaba Group Shareholders

Alibaba Group Holding

shares are trading sharply lower by $2.35 at $82.05. Shake-up in the C-Suite has investors abandoning the issue. The company has dismissed Yilei Wang, chairman of the Tmall and Juhuasuan platforms. The reason for this having such a significant impact on its share price is that Tmall is the major Business-to-Customer (B2C) platform and a major income generator for the Alibaba Group. On November 11 record sales day, the Tmall platform recorded record single day sales of RMB 57.1 billion. Off the open, it found resistance just ahead of Friday's close ($84.40), only reaching $84.35 before going into a nosedive. So far, it has managed to find intraday support at $81.50, but after rebound to $82.47 it continues to chop around at the $82.00 level. The major support level for the issue comes in at its all time low made on March 3 ($80.03), which was protected by a $80.17 low the following session. That low provided the foundation for a rally to the $86.00 level, which was reject in three consecutive trading sessions. The issue peaked on Wednesday ($85.83), Thursday ($86.27) and on Friday ($86.00).