Traders Beware!

Fraudulent websites posing to have a connection with JFD

Please be aware of fraudulent websites
posing as JFD's affiliates and/or counterparties

More information
by Darius Anucauskas

Hang Seng Pushes Higher And Ends The Week In Positive Territory

It was only on Thursday that the Hong Kong’s Hang Seng index followed its Chinese counterparts in their journey north. The price climbed above the high of last week, at 25113, and continued to move higher today, temporarily overcoming the highest point of June, at 25324, but failing to close above it. As we can also see, the index was halted near its 200-day EMA, which we will now monitor carefully, as a possible good barrier. Hang Seng is also balancing above its short-term upside support line taken from the low of May 29th, which may support the bullish case, for now.

If Hang Seng rises above the June high once again, which is at 25324, and also overcomes the above-mentioned 200-day EMA, that may increase the chances of seeing the price rising further, where the next resistance mark might be at 25740, which is the high of March 10th. The index may stall there for a bit, or even retrace slightly lower. However, as long as Hang Seng continues to trade above the previously-discussed upside line, we will stay positive with the near-term outlook. Another uprise and this time a break of the 25740 hurdle, would confirm another forthcoming higher high, potentially allowing Hang Seng to set sail towards the 26764 level, marked by the high of March 5th.

The RSI and the MACD are both pointing higher. The RSI is also sitting above 50 and the MACD remains above zero and its trigger line. For now, the two oscillators seem to be showing upside momentum. which supports the above-discussed scenario.

Alternatively, if the aforementioned upside line breaks and the price falls below the low of this week, at 24122, that may lead to a change in the short-term trend, possibly opening the way towards further declines. Hang Seng might then travel to the 23637 obstacle, a break of which could set the stage for a test of the 23173 level, marked by an inside swing high of May 29th.



The content we produce does not constitute investment advice or investment recommendation (should not be considered as such) and does not in any way constitute an invitation to acquire any financial instrument or product. The Group of Companies of JFD, its affiliates, agents, directors, officers or employees are not liable for any damages that may be caused by individual comments or statements by JFD analysts and assumes no liability with respect to the completeness and correctness of the content presented. The investor is solely responsible for the risk of his investment decisions. Accordingly, you should seek, if you consider appropriate, relevant independent professional advice on the investment considered. The analyses and comments presented do not include any consideration of your personal investment objectives, financial circumstances or needs. The content has not been prepared in accordance with the legal requirements for financial analyses and must therefore be viewed by the reader as marketing information. JFD prohibits the duplication or publication without explicit approval.

CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. 83% of retail investor accounts lose money when trading CFDs with the Company. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Please read the full Risk Disclosure.

Copyright 2020 JFD Group Ltd.