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Investors Business Daily
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MATTHEW GALGANI

Buy Hot China Stocks Like Alibaba And This DeepSeek Rival With Less Risk

China stocks like Alibaba, JD.com, Baidu and Tesla-rival BYD continue to rally as U.S. market indexes work through a correction. The iShares China Large Cap exchange traded fund offers a way to get in on Alibaba, BYD, Tencent and others with less risk.

The FXI ETF popped onto IBD Leaderboard on March 12 and also remains in buy range after clearing a 37.48 buy point in a cup with handle. With just one trade, investors can own a piece of each of the China stocks in the ETF. This entails less risk than buying BYD, Baidu and others individually.

Top U.S.-Traded China Stocks In FXI ETF

In addition to the big-name China stocks like Alibaba and BYD trading in the United States, many components of the iShares China Large Cap ETF trade on the Hong Kong Stock Exchange. Food delivery giant Meituan and Apple iPhone rival Xiaomi fall into that category.

Ranked by IBD Composite Rating, the table below lists the top Chinese stocks to watch. These are components of the FXI fund and trade in the U.S.

With the exception of Tencent, each of these stocks sports an up/down volume ratio above 1.0, a sign of demand. The demand for Alibaba and BYD is particularly strong, as indicated by a 2.4 and 2.3 up/down volume ratio, respectively.

While shares of Alibaba, Tencent and BYD are extended, JD.com has jumped back into buy range from a 43.63 buy point from a cup with handle. Baidu is working on a base while also blasting past a trendline entry around 100 in huge volume. The Chinese online search giant just released a new artificial intelligence reasoning model to rival DeepSeek.

Company Symbol Comp Rating EPS Rating RS Rating SMR Rating A/D Rating Up/Down Vol
JD.com 94 99 96 B C- 1.4
Alibaba 93 58 98 A A+ 2.4
Baidu 79 49 71 C B 1.5
BYD n/a 96 97 - B- 2.3
Tencent n/a 95 96 - A- 0.9

4 Tips For How To Sell Stocks, Manage Risk And Prepare For Next Uptrend

Fund In Buy Range With Rising Relative Strength

Building on Friday's breakout, shares of the FXI fund are moving higher Monday. The ETF remains within the 37.49-39.36 buy range.

Among China ETFs, FXI has one of the strongest Relative Strength Ratings at 95. Also, its relative strength line continues to soar.

View More Chinese Stocks To Watch

Follow Matthew Galgani on X (formerly Twitter) at @IBD_MGalgani.

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