Alibaba Volatile As 337 Million Shares Become Available For Sale

shares were trading lower by $0.78 (1 percent) at $83.72 in Wednesday's session. The issue is having a volatile session as the lockup of 337 million shares expires today. Of course, just because the lockup ends does not automatically means the shares will flood the market off the opening bell. Traders anticipating a sharp decline immediately were in for a big surprise as the issue put in a low right off the open at $83.75 and rallied all the way $85.95. That level represents an important resistance level for the issue, as it has peaked at the $86.00 level on three consecutive sessions (March 4-6) between $85.83-$86.27. After the short-covering rally, Alibaba collapsed to make a new low for the session at $83.30. Since making that low, it is attempting to reclaim the $84.00 level. At its current level, it is in the middle of a $80.03 to $86.27 trading range that is has held since February 27.