Hang Seng Index Futures Rally Cools, But Bulls Still In Charge
The index slipped 134 points to close at 23,383 pts on Thursday, after reaching an intraday high of 23,651 pts. The evening session saw further losses, with the index falling another 148 points to last trade at 23,235 pts.
RHB Research reported that the bearish candlestick with a long upper shadow indicates profit-taking is emerging, signalling waning buying pressure following a strong rally. However, the index remains above its 20- and 50-day simple moving averages (SMA), suggesting the broader trend is still intact.
'The pause in upside momentum may lead to a consolidation phase,' RHB Research noted. 'But as long as the HSIF stays above the 22,000-pt support, bulls will retain the technical advantage.'
Traders are advised to maintain long positions from the 21,416-pt level (April 14 close), with a stop-loss at 22,000 pts. Immediate resistance levels are set at 24,500 pts and 26,000 pts, while support sits at 22,000 pts, followed by 21,000 pts. Related
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