CSI 300:Return to downtrend

Fundamental Analysis.

Tuesday (May 23) three major indices ended further lower, CSI 300 index fell 1.52%, the two cities 1138 shares rose, 3725 shares fell, turnover of 765.8 billion yuan, the net sale of northbound funds 7.976 billion yuan. Looking ahead, at present, the A-share incremental funds are still lacking, market liquidity is in tight balance, the stock capital game under the A-share style rotation will continue, in the market grinding stage to grasp the low suction opportunities, waiting for the market to break out upwards.

CSI 300 four-hour chart

Technical analysis.

4 hours chart, CSI 300 small rebound 3960 again blocked, MACD volume under the zero axis re-discharge, resistance level concern 3960, the level below the bearish 3850-3800.

Resistance level:3960 4000

Support level:3850 3800

Trading strategy:3960 above bullish, target 4000 4050

Alternative strategy: 3960 below bearish, the target 3850 3800