CSI 300: Focus on 4060 Gains and Losses

A brief analysis of the fundamentals:

On Wednesday (September 14), the main indexes of the A-share and the two markets shrank and fell. The CSI 300 closed down 0.8% throughout the day, with a turnover of 723 billion and a net inflow of 793 million from the north. Looking forward to the market outlook, affected by the high inflation in the United States, global liquidity is once again facing a new round of tightening policies, and external risks are not conducive to the strengthening of A-shares. According to Morgan Stanley's quantitative model, China's A-share market sentiment has bottomed out, buying Entry signals have emerged, and Citigroup said China stocks alone could offer attractive returns over the next six to 12 months.

CSI 300 one-hour chart

A brief technical analysis:

Looking at the 1-hour chart, the CSI 300 retraced to the 4135 pressure level and then fell back. The short-term resistance has been confirmed. The MACD can continue to expand above the zero axis, indicating that the market may enter a new stage of the rebound cycle. Currently, 4135 is strong. Resistance line, see callback below this level in the day, breaking above this level will open up a new round of upward space

Long and short turning point: 4060

Resistance: 4100.00 4135.00

Support level: 4060.00 4000.00

Trading Strategy: Bullish above 4060.00, target 4100.00 4135.00

Alternative strategy: bearish below 4060.00, target 4000.00 3970.00