The BSE Sensex Index has crawled back in the past few days as traders wait for Donald Trump’s upcoming tariffs. It rose to a high of ₹77,415 on Monday, up from the year-to-date low of ₹72,680. It remains at almost 10% of its highest level this year. So, what next for the BSE Sensex index after forming an inverse head and shoulders pattern?

Donald Trump Liberation Day ahead

Like other global indices, the BSE Sensex Index has come under pressure in the past few weeks as investors wait for Donald Trump’s Liberation Day tariffs that will affect most countries. 

India is one of the top countries that will be impacted because of its high trade surplus with the US and its high tariffs of US goods. The most recent data shows that India had a trade surplus of over $36.7 billion in the last fiscal year. 

India exported goods worth over $77.5 billion and imported those worth $40.7 billion. This deficit is notable because it is the primary figure that Donald Trump focuses on when looking at trade. He believes that countries with a higher trade surplus with the US were largely stealing. 

India’s top exports to the US include products like engineering goods, electronics, pharmaceuticals, and petroleum products. 

Therefore, a major disruption in the trade relations between the US and India will likely have an impact on companies in the Nifty 50 and BSE Sensex index. 

Some of the top companies that will be affected in this case are giants like Reliance Industries, Sun Pharmaceuticals, Tata Motors, and Mahindra & Mahindra. Firms in the services sectors like Tata Consultancy and Infosys may be affected too.

India has made some proposals to please the United States. It has proposed to remove some taxes, including the contentious Google Tax, which companies pay a 6% levy for all online advertisements. Modi has also leveraged his personal relationship with Trump to ameliorate the impact.

Still, analysts caution that reciprocal tariffs on Indian goods will come as long as it has a big surplus with the US.

Top BSE Sensex Index movers

Some BSE Sensex stocks have done well this year, helped by their market share growth and profitability. Bajaj Finance and Bajaj Finserv stocks have led the performance of the Sensex index.

Bajaj Finance published strong financial results that demonstrated that its business was doing well. Its revenue rose by 27% in the final quarter of he year, while the assets under management (AUM) rose by 28.8%. Analysts have remained upbeat about the company, with those at BNP Paribas boosting their estimates to Rs 10,700.

Kotak Mahindra Bank share price rose by 21% this year, making it the third-best performer after Bajaj Finance and Bajaj Finserv. Its business is doing well, helped by its private bank, which has continued to grow. It has added thousands of customers as it beats other companies like UBS and HSBC in their battle for wealthy Indian customers.

The other top companies in the Sensex index this year are Tata Steel, Bharti Airtel, Maruti Suzuki, ICICI Bank, Reliance Industries, and Nestle India. The top laggards in the index are IndusInd Bank, Zomato, HCL Technologies, Tech Mahindra, and Infosys.

BSE Sensex Index analysis

Sensex index chart | Source: TradingView

The daily chart shows that the Sensex index has crawled back in the past few days. It has moved above the upper side of the descending channel. 

The index is slowly forming an inverse head and shoulders pattern. It has already completed the head, left shoulder, and a neckline. Therefore, the stock will likely drop to the right shoulder at ₹74,752. 

Sensex index has moved to the 38.2% Fibonacci Retracement point. Therefore, the stock will likely rebound later this year, as bulls target the key resistance point at ₹82,300, its highest point in December last year.

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Aston Martin has secured over £125 million ($161.9 million) in new funding to stay on track amid deepening financial pressures and shifting global demand.

The luxury carmaker, known for its James Bond legacy, announced fresh capital through a combination of investment by its chairman and the sale of a stake in its Formula One team.

The company has struggled with weak demand from China, ongoing delivery delays, and the fallout from supply chain disruptions.

Monday’s announcement marks the sixth time Aston Martin has raised capital since Lawrence Stroll took control in 2020.

Formula One team stake sold to unlock capital

Aston Martin will generate part of the funds by selling a portion of its holding in the Aston Martin Aramco Formula One team.

While the company did not name the buyer, it confirmed that the deal would help unlock a premium to the current book value of around £74 million.

This stake sale is a strategic step to convert a non-core asset into liquidity, as the business recalibrates its global expansion and manufacturing plans.

The carmaker has not disclosed the size of the stake being sold.

The Formula One unit, which has gained visibility in recent seasons, remains partly owned by Chairman Stroll.

The sale is expected to boost Aston Martin’s financial flexibility as it confronts a volatile global environment marked by tariff uncertainty and slowing sales in key international markets.

Stroll’s stake rises to 33%

Chairman Lawrence Stroll’s Yew Tree Consortium will invest a further £52.5 million ($68.0 million) by purchasing 75 million Aston Martin shares at 70 pence each, a 7% premium to Friday’s closing price of 65.4 pence.

The new deal lifts Yew Tree’s stake from about 27.7% to approximately 33%, crossing the 30% threshold that typically requires a shareholder to offer to buy out remaining investors under UK listing rules.

To avoid that requirement, Yew Tree will seek a waiver from regulators.

Aston Martin confirmed that Yew Tree has shown interest in potentially raising its holding further, up to 35%.

Stroll has already invested close to £600 million ($778 million) in the company since 2020, making him one of its most influential stakeholders.

Delivery delays and China demand weigh on forecasts

The funding comes as Aston Martin faces ongoing operational challenges.

The company has struggled to meet delivery timelines, and its performance in China, a major luxury vehicle market, remains underwhelming.

Supply chain problems, combined with macroeconomic pressures, have pushed the carmaker to implement cost-saving measures, including a 5% workforce reduction.

On Monday, Aston Martin revised its 2025 guidance, saying it now expects only “modest growth” in annual car volumes.

This is a downgrade from its earlier forecast of mid-single-digit percentage growth.

The adjustment is partly due to new US tariff threats under the Trump administration, which could impact the pricing and competitiveness of British-made luxury cars in the American market.

Despite the financial pressures, Aston Martin shares rose 5.7% to 69 pence in early trading after the announcement.

Investor sentiment appears buoyed by the fresh capital and Stroll’s continued commitment.

However, the company’s underlying financial health remains strained, and the need to raise funds for the sixth time in under five years signals persistent structural issues.

The latest round of capital injection may ease short-term liquidity concerns, but questions remain about Aston Martin’s long-term strategy amid fierce global competition, rising regulatory hurdles, and macroeconomic headwinds in key markets.

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Alibaba stock price has stalled this month as the recent surge faded. BABA dropped to $132.45 on Monday, down by 11% from its highest point this year, meaning that it has moved into a technical correction. This article explores the technical and fundamental reasons why the BABA stock may be on the cusp of a strong surge.

Alibaba stock price has strong technicals

The first main reason why the BABA stock price will likely surge is that it has strong technicals. The daily chart shows that the BABA stock bottomed at $65.50 in 2024 and then surged to a high of $148.15. 

It has moved above the 50-day and 100-day moving averages, a sign that the uptrend is still strong. Most importantly, there are signs that the Alibaba share price is slowly forming a bullish flag pattern. This pattern comprises a vertical line and a rectangle consolidation pattern, which is now happening. 

Alibaba stock price has also been in an Elliot Wave pattern. It has completed the first three waves, and is currently in the fourth one, which is usually a bearish one. This means that it will soon move to the fifth wave, which is usually characterized by more upsides. 

Therefore, a combination of a bullish flag pattern, strong moving averages, and Elliot Wave is a sign that the stock will have a strong bull run later this year. More bullish signs will be confirmed if the stock surges above the key resistance point at $148. A move above that level will boost the odds of the Alibaba share price soaring to $200 by the end of this year. 

Top bullish catalysts for BABA shares

There are several bullish catalysts for the Alibaba stock price. First, Alibaba has become a highly undervalued company because of its internal and external challenges in the past few years.

Alibaba trades with a forward P/E ratio of 17.20, much lower than its American peers like Amazon and Google. The multiple is also much lower than the S&P 500 index, which has a multiple of 21. 

Second, Alibaba has become one of the biggest players in the artificial intelligence industry. It has unveiled several models that perform all tasks like text generation, and QwQ-32B, which it claims rivals that of DeepSeek. 

Alibaba’s AI models have become so successful that it has become the default platform for Apple devices in China. Therefore, the company will likely continue doing well since the AI industry is still in its infancy, 

Beijing is supportive of Chinese tech companies

Third, there are signs that Beijing is being supportive of technology companies. Earlier this week, Xi Jinping hosted the biggest tech entrepreneurs in the country, including Jack Ma, for a meeting. This means that Alibaba will likely not experience the regulatory issues it has gone through in the past few years. 

Further, Alibaba will likely not be impacted by Donald Trump’s tariffs, because it is less exposed to the United States. Also, American customers will keep buying from China because of the low costs. US semiconductor sanctions will not affect Alibaba’s cloud and AI business.

Analysts expect BABA’s business to keep doing well this year. The average revenue estimate for the current quarter is 237 billion CNY, up by 6.8% from a year earlier. This revenue growth means that its annual revenue may cross the 1 trillion yuan milestone this year.

This growth means that Alibaba will keep buying back shares, a process that has dramatically reduced its share count in the past few years. Its US share count has dropped to 2.31 billion, down from 2.63 billion in 2022. 

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AI stocks have been hammered in recent weeks, part of which is related to the macro headwinds, but some of it, at least, is due to concerns of an AI slowdown ahead.

But recent data continues to dismiss such fears as inflated. In fact, if anything, the demand for compute has only gone up in 2025, according to a senior Bernstein analyst, Stacy Rasgon.

“The only ones that seem worried about it are the investors. The companies that are actually doing the spending, it seems like it’s full steam ahead,” he argued in a CNBC interview last week.  

DeepSeek is driving demand for compute

Part of the reason why investors are questioning if 2026 could still be a growth year for artificial intelligence is DeepSeek.

The Chinese startup rolled out an AI model in February that it claimed required significantly less computational resources to achieve results comparable to ChatGPT.

However, demand for compute has only gone up since DeepSeek’s launch, Rasgon added.

We’ve seen CAPEX numbers go up. We’ve head stories of GPU shortages as they’re starting to deploy this stuff.

It does actually look like it’s driving demand, not curtailing it.

Still, the iShares Future AI & Tech ETF is currently down nearly 25% versus mid-February.

Nvidia continues to see strong demand ahead

Nvidia chief executive Jensen Huang echoed a similar view at the annual GTC event this month.

In his keynote speech, the industry veteran said DeepSeek’s R1, while efficient, is a reasoning model that actually requires 100 times more computational power than non-reasoning AI models.

This was contrary to initial market assumptions that DeepSeek’s advancements would reduce overall compute demand.

“I’m of the belief that cost reduction, in general, is good – it drives demand. That’s been true in semiconductors over the course of five or six decades.” Rasgon told CNBC last week.

Bernstein’s view on Nvidia stock for 2025

Rasgon’s belief that concerns of an AI slowdown are, in fact, overblown keeps him bullish on the sector darling, Nvidia Corp (NASDAQ: NVDA).

His outperform rating on the artificial intelligence chips giant is coupled with a price target of $185, which indicates potential for a nearly 70% upside from current levels.

The Bernstein analyst agreed that semiconductor stocks tend not to do well during a recession, but added:

Some of the spending on AI, particularly related to productivity savings and cost reductions, and things like that may prove more resilient in a recession than discretionary spending.

Nvidia itself guided for continued momentum ahead in February.

For Q1, the AI chips behemoth expects $43 billion in revenue, which translates to about a 65% year-on-year increase. Analysts, in comparison, were at $41.78 billion only.

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