HK50: high volatility

Brief analysis of fundamentals:

Hong Kong's Hang Seng Index closed down 157.77 points, or 0.79%, at 19,741.14 points on December 29 (Thursday). The Hang Seng Index retreated more than 500 points from yesterday's high point, and finally closed down 0.79%, the State Index fell 1.14%, and the Hang Seng Technology Index fell 2.49%. Large-scale technology stocks fell across the board, JD.com fell more than 5%, and Tencent’s beneficiary version number was approved to rise nearly 3% against the trend; thirteen departments issued documents to regulate non-disciplinary training, education stocks led the decline throughout the day, and the net inflow of southbound funds was 5.601 billion Hong Kong dollars. Market turnover was HK$90.7 billion.

HSI HK50 4-hour chart

Brief technical analysis:

Looking at the 4-hour chart: The high-level bullish momentum is rising in a stepwise manner, and the short-term resistance is retraced. The market’s short-seller momentum has signs of waiting for an opportunity to enter the market. The MACD indicator is in the bullish area, and the RSI indicator is hovering weakly on the side of the 50 balance line;

Long-short turning point: 19845

Suppression: 20080, 20304

Support: 19522, 19292

Trading strategy: bearish below 19845, target 19522, 19292

Alternative strategy: call above 19845, target 20080, 20304