HK50: Bullish Strong support formed, looking for a break higher with the rest of the world approaching ATHs. It's likely the property sector will likely receive some government support soon which should boost the sentiment.
HONGKONG50CFD trade ideas
Hang Seng Index: Pending Explosive Move UpIn this analysis, I talk about how I used Elliott Waves to count the moves of Hang Seng Index from Jan 2018 to 24th Nov 2023.
The main points to take note are these:
1. The corrective move down in 2023 is over.
2. We are still in a minor corrective move down.
3. But a wave 3 up is round the corner and that it will be an explosive one.
4. The risk is low for this bullish trade.
HSI Long: Update to Elliott Wave Counts (end of correction)A quick update to the HSI Elliott Wave counts that could potentially signal the end of the entire down move.
Hang Seng SetupsLooking for turnarounds or pivot points at the rectangles which are projected potential support and resistance zones. Preferred Japanese Candlesticks Patterns for potential pivot points are Harami and Engulfing patterns, but others will be taken into consideration.
Icons are potential price predictions which don't require a pivot point specifically at a rectangle in order to be taken into consideration as a target for a trade from a candlestick pattern that could signal a turnaround.
HSI went ballastic yesterday and traders went wild !So, HSI rallied more than 600 points yesterday ! Wow, it went to a high of 18103 , exceeding the 18,000 price level that I said must sustain above for the rally to continue.
We are currently 186 point down, having recovered much better than this morning with 300 points negative.
The meeting with President Biden and Xi was a good stimulus to the overall market. (read here )
Property market remain in the doldrum todate (read here ) though there are measures being introduced but much to the disappointment of many who feels it is inadequate.
Consumer confidence remains low and we are not seeing huge spending even on Singles Day.
I am patiently awaiting ......
Is HSI out of the woods yet ?From the chart, we can see the orange circle showing a series of multiple lows for the entire 2023. But the last circle in green , dated 1 Nov 23 could be a turning point.
Before we get too excited, a few things need to happen.
1. 1 Nov low was 17110 followed by 17, 193 on 10 Nov - a good sign
2. 6 Nov peak was 17,954 and the next few days has to surpassed this level to near 18,000 price level in order to confirm the change of trend within the channel.
3. Note that overall trend is still bearish in the wider channel (red) and until the price of 18,500 is breached, we can't say for sure that a bullish trend is established. The early adopters may have already park some funds to ride up but I think many consumer investors are still wary and uncertain of the overall direction.
So, be patient and watch the trend, read the news, etc.
HK50 Bear Trap - Going Up.HK50 consolidated all Friday.
And shows a Bear Trap on Monday Tokyo open.
Huge divergence.
This is a textbook setup.
I wont be surprised if it Goes Up!!!
HSI Buyers FireWallthe detail is shown in the above Idea.
I made this Idea based on Candlestick Analysis and Fibonacci Tool.
buyers are burned in red rectangle (0.5- 0.618 golden level retracement )
therefore we can expect that HSI index decrease step by step to 1.27 F to 1.618 F and Level 2 Is Spring of HSI Exchange.
HONG KONG joins the bull marketThe HANG SENG INDEX is the main indicator of the overall market performance in Hong Kong.
The index has underperformed the rest of the world since March 2020 and was among the worst performing indices globally from 2020-2022.
In October 2022 however the Index seems to have moved up in a 5 wave structure after having seen quite a freefall from Feb. 2021. This 5 wave advance completed in Jan 2023, and since then, till the very recent low of Oct.2023 the Index corrected 61.8% of the entire Wave 1 rise.
Now however, the Index is ready give a massive 40-45% up move as the Wave 3 unfolds itself going forward into 2024-2025.
Note*- This post is for educational purpose only
A beginner's analysis in HK50 Short TermTraders may consider trading the HK50 (Hang Seng Index) in the long (buy) direction for several reasons:
Bullish Market Sentiment: If there is a prevailing bullish sentiment in the global or regional economy, it can positively impact the HK50. A long position aligns with the expectation that the index will rise, potentially resulting in profits.
Strong Fundamentals: A trader may observe strong economic indicators, robust corporate earnings, or favorable government policies in Hong Kong, which can support a long trade as these factors are likely to drive the index upward.
Diversification: Incorporating the HK50 into a diversified investment portfolio can provide exposure to a different market and currency, reducing risk through diversification.
Technical Analysis Signals: Traders may use technical analysis to identify patterns, support levels, or other indicators that suggest the index is likely to move higher, providing a basis for long trades.
Global Events: Positive outcomes in international events or trade agreements can benefit the Hong Kong market and may encourage traders to take long positions.
Risk Management: Before trading long, traders should set stop-loss orders and risk management strategies to limit potential losses. A well-defined risk management plan is crucial in any trade.
Research and Analysis: It's essential to conduct thorough research and analysis, taking into account various factors, before entering a long trade. This includes monitoring news, earnings reports, and geopolitical events.
Traders should be cautious and consider market conditions, personal risk tolerance, and their own analysis when deciding whether to trade the HK50 or any other financial instrument. Trading in the financial markets carries inherent risks, and decisions should be made with care and diligence.
HK33HKD to find resistance at swing highs?HS50 - 24h expiry
Although the bulls are in control, the stalling positive momentum indicates a turnaround is possible.
The 200 day moving average should provide resistance at 17520.
This is negative for sentiment and the downtrend has potential to return.
The hourly chart technicals suggests further upside before the downtrend returns.
We therefore, prefer to fade into the rally with a tight stop in anticipation of a move back lower.
We look to Sell at 17545 (stop at 17705)
Our profit targets will be 17145 and 17045
Resistance: 18015 / 18520 / 18915
Support: 17040 / 16560 / 15665
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
HK50, DailyHK50 is moving downward, heading to the $16800 level, the intermediate-term support level. The price may retest this level ahead of FOMC interest, after which it may rebound higher.
Is HSI bottoming?Just my 2 cents.
1. RSI Divergence from 2019-2023, similar to 2001-2003, something that looks interesting.
2. HSI retraced from 2018-2023, the longest correction from Monthly chart.
3. HSI has dropped ~47% from peak, which is quite safe to look for entry.
4. Will be waiting for news to stimulate HSI and also China indexes.
𓃑 Here is a technical analysis update about the Chart HK50The HK50 index has been on a downward trend for the past 7 days, but today we witnessed a significant rebound, marking a potential shift in its trajectory. As a trading professional, I will provide you with a detailed technical analysis update on the HK50 chart.
Technically, the index has successfully surpassed the resistance level at 17,138 on the hourly chart. This breakthrough indicates a potential shift in market sentiment and suggests the possibility of further upward movement. The current nearest resistance level stands at 17,409, which will be crucial to monitor in the coming days.
To gain a clearer perspective, we need to observe the market for another one to two days. If the HK50 manages to stabilize above the 17,138 level, it could signal a temporary bottoming out or the emergence of a short-term upward trend. Traders should closely monitor the price action during this period and take advantage of potential trading opportunities.
In the event that an upward trend materializes, the index will face a significant challenge at the resistance level of 17,925. This level has proven to be a key obstacle in the past and will require careful analysis and strategic decision-making.
Additionally, it is worth noting that the Fibonacci 50% retracement level corresponds to 17,590. This level often holds significance in technical analysis and can provide further insights into potential price movements.
In conclusion, the recent rebound in the HK50 index after a series of declines and a prolonged holiday period has sparked interest among traders. The technical analysis suggests the possibility of a shift in market sentiment, with potential short-term upward movement. However, further observation and analysis are required to confirm this hypothesis. Traders should remain vigilant and adapt their strategies accordingly to capitalize on potential trading opportunities.
HK33HKD to continue in the downward move?HS50 - 24h expiry
Previous support level of 17587 broken.
Short term bias has turned negative.
The hourly chart technicals suggests further upside before the downtrend returns.
The 200 day moving average should provide resistance at 17845.
Preferred trade is to sell into rallies.
We look to Sell at 17800 (stop at 17960)
Our profit targets will be 17400 and 17320
Resistance: 18015 / 18520 / 18915
Support: 17375 / 17040 / 16560
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
No trade for HK50 until range breakout📣💹Trading Plan 1-2-3:
Chart Symbol: HK50
Direction: Neutral
Idea: No trading plan until it breaks out the range from 17600 to 17900
HK33 price action looks to be forming a bottom.HS50 - 24h expiry
Price action looks to be forming a bottom.
We are trading at oversold extremes.
A Doji style candle has been posted from the base.
Indecisive price action has resulted in sideways congestion on the intraday chart.
Preferred trade is to buy on dips.
We look to Buy at 17630 (stop at 17430)
Our profit targets will be 18130 and 18230
Resistance: 18016 / 18520 / 18915
Support: 17375 / 17040 / 16560
Risk Disclaimer
The trade ideas beyond this page are for informational purposes only and do not constitute investment advice or a solicitation to trade. This information is provided by Signal Centre, a third-party unaffiliated with OANDA, and is intended for general circulation only. OANDA does not guarantee the accuracy of this information and assumes no responsibilities for the information provided by the third party. The information does not take into account the specific investment objectives, financial situation, or particular needs of any particular person. You should take into account your specific investment objectives, financial situation, and particular needs before making a commitment to trade, including seeking advice from an independent financial adviser regarding the suitability of the investment, under a separate engagement, as you deem fit.
You accept that you assume all risks in independently viewing the contents and selecting a chosen strategy.
Where the research is distributed in Singapore to a person who is not an Accredited Investor, Expert Investor or an Institutional Investor, Oanda Asia Pacific Pte Ltd (“OAP“) accepts legal responsibility for the contents of the report to such persons only to the extent required by law. Singapore customers should contact OAP at 6579 8289 for matters arising from, or in connection with, the information/research distributed.
HK50 to see another capped rally?HS50 - 24h expiry - We look to Sell at 17740 (stop at 17940)
Although the bears are in control, the stalling negative momentum indicates a turnaround is possible.
Price action looks to be forming a bottom.
A higher correction is expected.
The bias is still for lower levels and we look for any gains to be limited.
The trend of lower highs is located at 17928.
Preferred trade is to sell into rallies.
Our profit targets will be 17240 and 17140
Resistance: 17375 / 18015 / 18520
Support: 17040 / 16560 / 15665
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HK50 - Range Bounded mess continuesHK50 is one of those nightmare indices that you can just hold and hope (long or short).
They are money eaters when you pay interest on the daily. ANd right now it needs a serious break up or down.
I am going to remain neutral in terms of position and the bias remains down as there are lower lows and lower highs.
Finally a chance to buy HK50The market is STILL BEARISH but,
1) HK50 is now fully oversold.
2) There is a harmonic pattern
3) There is H1 RSI divergence
Tight stop loss. We need to ensure to exit quickly as the market is still down.
