Hang Seng Index price chart analysisHang Seng Index closed Friday's session at 22961.47 -171.29 down 0.74%. The Index is still to recover from a steep drop in mid-May from 24200.00 due to the Hong kong crisis reaching lows of 22540.00 on the 25th of May. The Index close Friday's session around a critical price point at 22950.00, This is a crucial price point to watch in today's session, Prices could either break and hold to the upside or fall below and head down to 22750.00 and 22540.00
HSI trade ideas
HKG33HKG33 has been trading in a massive range between 24500 and 23500 since April, last week it failed to hold the lower range as support and broke the range to the downside with massive volume.
now it's back to the previous support zone which should act as resistant now. also atm its showing weakness at the resistance. it provides a good risk to reward and easy to manage trade to take.
Hang Seng : One Country - One System (log chart long term)Given recent newsflow I wanted to look into Hang Seng HK equities index - feels like that the zone just below 22,000 is critical long term - a break below would be extremely bearish. Together with the general reliance on what is a rigged real estate market I think it is one of the most fragile indices out there.
Watch these lines of defenceThe 1325.60 points or 5.48% plunge for HSI last Friday was devastating.
Bulls are bleeding and Bears are laughing all the way to the bank..........
Next few weeks are going to be crucial and I think China has to "firewalk" carefully this time.
With Covid1-19 , it is facing a lot of pressures from many countries wanting an independent survey to be conducted on the source of Covid-19.
It's massive unemployment is another big headache that it has to take care of. Now, with this mess, Hong Kong is facing a lot of challenges.
Chart wise, we can see that it is nearing the next two levels of support. Once, it breaks down 22,400 (roughly), we are heading south , man. There will be no turning back.
If you have not short, please do not chase price as a 4 digit plunge is not ordinary and the market might retrace fiercely next week before it decides what to do next. Or , another gap down, who knows.....
Be cautious, this is not the time to play hero..
HK33HKD Retrace Expected (A Long then Short plan if you dare) otherwise wait it out and follow the trend.
Seems like the 1st intra-wave of the bigger 5th wave down has rejected the previously drawn Support on our charts (temporarily). *Link to previous chart is attached.
Could it be the start of a retrace (ie wave 2)?
If it is, a good entry for a further short at 23,580 level area (in line with Fib50 and some resistance areas)
A further entry could be at the FIB61.8 area (blue and green lines) which lie stronger resistances including the POC levels.
Expecting the downward intra-wave 3 of the larger 5th wave to Hit our previous TP1 target as it now is in confluence with FIB ext 161.8.
** Of course this is only assuming that a retrace happens from here!!
Which is The Hang Seng 50 Going? (HSI) WAVE 5 Down!!!
Hang Seng China 50 Index is a pan-China stock market index to represent the top 50 China-based companies in the stock exchanges of Hong Kong, Shanghai and Shenzhen, which covers A share (shares circulated in mainland China), H share (shares circulated in Hong Kong from the mainland China incorporated company), Red Chip (shares circulated in Hong Kong from the companies incorporated outside mainland China with state-owned background) and P Chip (shares circulated in Hong Kong from the companies with private background)
HSI: GloomyToday I don't want to talk any technique analysis on HSI, I just would like to say something else——the Fundamental Situation.
What make HK one of the largest finance centers in the world?
Freedom and Rule of Law.
Because of this, it can be as a window for the mainland to the world.
If freedom and rule of law are eroded, all will gone.
Now the gloom is deepening in this land.
What will happen next?
Where should he go next?
How can he do next?
It is critical but difficult to reply.
Before the dawn comes, it will become darker.
With a heavy heart, I just offer my best wishes to this beautiful land.
May God bless the pearl!
Long live the Pearl of the Orient!