Alibaba Group Holding Ltd. (BABA) experienced a significant surge in its stock price, reaching multi-year highs on Monday. The stock hit a peak of $148.6, with traders expressing optimism about further gains, potentially reaching $150. The stock needs to hold above $147 to maintain this upward momentum. The rally in Alibaba's stock is part of a broader trend of strong performance among Chinese stocks. Baidu Inc. (BIDU) also saw notable gains, reaching $101. Investors are actively trading options on both stocks, with significant interest in Baidu's May $85 in-the-money calls, which were bought at prices ranging from $15.40 to $16.15. Alibaba's stock broke through $148.5 and is currently testing the top of the March Value Area. The surge in Chinese stocks is driven by hot money flowing into the market, with Alibaba and Baidu leading the charge. However, some traders predict an 80% chance of a downturn tomorrow, with plans to short $KWEB by the close.