HK50: low shock

Hong Kong’s Hang Seng Index closed down 17.36 points, or 0.1%, at 18216.91 points on June 1 (Thursday). Biotechnology index rose 0.11%, the market may show a signal to stop falling. Large technology stocks were mixed, and JD.com rose more than 3%. Chinese Minister of Commerce Wang Wentao held talks with US Secretary of Commerce Raimondo and Trade Representative Dai Qi respectively. The net outflow of southbound funds was 1.673 billion Hong Kong dollars throughout the day, and the market turnover was 125.8 billion Hong Kong dollars.

HSI HK50 4-hour chart

Looking at the 4-hour chart: the short-term momentum is weak and fluctuating at a low level. Although the short-term decline has stopped, the downward trend remains. The MACD indicator is hovering at a low level in the short-selling area, and the RSI indicator is in the short-selling area. Maintain consolidation;

Resistance level: 18393 18553

Support level: 17982 17858

Trading strategy: bearish below 18237, target 17982 17858

Alternative strategy: call above 18237, target 18393 18553