HK50: Bears tumble sharply

Hong Kong’s Hang Seng Index closed down 429.45 points, or 2.12%, at 19867.58 points on May 9 (Tuesday). The three major Hong Kong stock indexes fell sharply in the afternoon. The Hang Seng Index fell 2.12% and fell below the 20,000-point mark again, the State Index fell 2.36%, and the Hang Seng Technology Index fell 2.95%. Large technology stocks fell significantly, Baidu fell 4.46%, Tencent and Kuaishou fell more than 3%. The net inflow of southbound funds was 2.756 billion Hong Kong dollars throughout the day, and the market turnover was 122.1 billion Hong Kong dollars.

HSI HK50 4-hour chart

Looking at the 4-hour chart: the market bearish sentiment emerges, the short-term rapid decline, the overall decline shows no signs of stopping, the MACD indicator is weak and hovering around the 0 axis, and the RSI indicator is weakly finishing near the 50 balance line;

Resistance level: 19981 20110

Support level: 19660 19549

Trading strategy: bearish below 19839, target 19660 19549

Alternative strategy: call above 19839, target 19981 20110