HK - Market Direction 01 (Jan 12 - Jul 15)

[winston]

TOL:-

If you look at the 5 day chart of the USD vs HKD, you can see the weakness in the HKD, indicating that money is flowing out of HK.

[winston]

The next support for the index will be around 20,100, the 50-day moving average - 700 points more to the south!

Much will depend on external factors.

Let's see what bargains can be had if the index really consolidates at that level.

Source: Dr Check, The Standard HK

[winston]

TOL:-

Someone did not want the HK market to end in the negative yesterday.

There was some late buying of Hutch and China Mobile, which pushed the market up a the end.

You wanna invest in this type of market ?

[winston]

TOL:-

Time to short HK or wait until 1Q Window Dressing is over ?

It's also Earnings Season in HK ...

[winston]

DJ MARKET TALK: HSI's Golden Cross Likely Soon - UOB KayHian

1503 [Dow Jones] UOB KayHian says in the Hong Kong market, a golden cross is when the 50-day moving average of the HSI crosses above the 250-day MA, as "technical analysts view this phenomenon as very bullish for the future."

The house explains that the golden cross tends to become a self-fulfilling prophecy, especially when it attracts enough attention, and the more traders follow this indicator, the stronger the momentum, which can exaggerate moves of large caps, especially those with high beta.

Meanwhile, based on Monday's close, the HSI's 50-day MA is situated at 20,630 while the 250-day MA is at 20,805, hence a golden cross may emerge soon.

Source: Dow Jones Newswire

[winston]

Of the 116 companies on the Hang Seng Composite Index (HSCI) that have reported full-year earnings since January, 56 percent have exceeded analysts’ estimates, according to data compiled by Bloomberg.

Health-care and basic materials companies recorded the biggest increases in earnings per share, while industrial companies were the only ones among 10 industries to report a decrease.

Source: Reuters

[winston]

On CNBC;-

ray Barros expects the SSE to drop down to around 2300 ...

[winston]

TOL:-

Do you see a "M" forming on the HK chart ?

[Aspellian]

TOL:-

Do you see a "M" forming on the HK chart ?

only see first half of a "M" - likely a rebound next week leading to end of window dressing and it will be interesting to see what happens thereafter. I will wait in case its a oncoming freight train...

[winston]

I think you are getting the second half of the "M" now ...