HK50: Drive high and go high

Brief analysis of fundamentals:

Hong Kong’s Hang Seng Index closed up 518.73 points, or 2.71%, at 19,679.22 points on December 22 (Thursday). Affected by the rise in U.S. stocks overnight and favorable policies in the Mainland, the three major Hong Kong stock indexes performed strongly throughout the day. The Hang Seng Technology Index once It rose 5.2% and closed up 4.61%. The Hang Seng Index and the State Index rose 2.71% and 3.33% respectively. The Hang Seng Index rose by more than 500 points. China-U.S. audit and regulatory cooperation has been normalized, and Chinese concept stocks returning to Hong Kong have collectively risen, led by Xiaopeng Motors and Bilibili, and heavyweight technology stocks such as Alibaba and Baidu are all stronger; the net inflow of southbound funds is 2.472 billion Hong Kong dollars, and the market turnover 101.4 billion Hong Kong dollars.

HSI HK50 4-hour chart

Brief technical analysis:

Looking at the 4-hour chart: the bulls are driven higher and higher, the short-term bullish sentiment emerges, the market continues to rise, the MACD indicator is in the bullish zone and moves up slowly, and the RSI indicator is hovering weakly on the side of the 50 balance line;

Long-short turning point: 19549

Suppression: 19918, 20141

Support: 19292, 19076

Trading strategy: Bullish above 19549, target 19918, 20141

Alternative strategy: bearish below 19549, target 19292, 19076