China Construction Bank Corporation (HKG:0939) Trading Outlook

China Construction Bank Corporation (HKG:0939) Trading Outlook

China Construction Bank Corporation (HKG:0939) Trading Outlook

CCB closed down -0.070 at 5.200. Volume was 60% above average (neutral) and Bollinger Bands were 3% wider than normal.

Open High Low Close Volume___
5.280 5.340 5.180 5.200 459,303,104

Technical Outlook
Short Term: Oversold
Intermediate Term: Bullish
Long Term: Bullish

Moving Averages: 10-period 50-period 200-period
Close: 5.36 5.11 5.08
Volatility: 16 28 28
Volume: 290,015,040 333,099,072 266,982,016

Short-term traders should pay closer attention to buy/sell arrows while intermediate/long-term traders should place greater emphasis on the Bullish or Bearish trend reflected in the lower ribbon.


CCB is currently 2.4% above its 200-period moving average and is in an upward trend. Volatility is extremely low when compared to the average volatility over the last 10 periods. There is a good possibility that there will be an increase in volatility along with sharp price fluctuations in the near future. Our volume indicators reflect volume flowing into and out of 0939.HK at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bullish on 0939.HK and have had this outlook for the last 41 periods.

HEFFX Momentum

Momentum is a general term used to describe the speed at which prices move over a given time period. Generally, changes in momentum tend to lead to changes in prices. This expert shows the current values of four popular momentum indicators.

Stochastic Oscillator

One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 14.2857. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a sell 8 period(s) ago.

Relative Strength Index (RSI)

The RSI shows overbought (above 70) and oversold (below 30) areas. The current value of the RSI is 47.14. This is not a topping or bottoming area. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a sell 34 period(s) ago.

Commodity Channel Index (CCI)

The CCI shows overbought (above 100) and oversold (below -100) areas. The current value of the CCI is -152.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a sell 8 period(s) ago.


The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a sell 3 period(s) ago.


A black body occurred (because prices closed lower than they opened).

During the past 10 bars, there have been 4 white candles and 6 black candles for a net of 2 black candles. During the past 50 bars, there have been 33 white candles and 13 black candles for a net of 20 white candles.

Three black candles occurred in the last three days. Although these candles were not big enough to create three black crows, the steady downward pattern is bearish.

China Construction Bank Corporation is a commercial bank. The Bank operates its businesses through corporate banking business, including corporate deposit, corporate credit loan, asset custody, enterprise annuity, trade financing, international settlement, international financing and value-added services, among others, and personal banking business, including personal deposit, loan, bank card services, private bank services, foreign exchange trading and gold trading services, among others. The Bank also involves in the provision of electronic banking, Internet banking, mobile phone banking and telephone banking services, insurance products, including life insurance, property insurance, health insurance and others, as well as fund management and wealth investment services. The Bank operates its businesses in domestic and overseas markets.

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Shayne Heffernan Funds Manager at HEFFX holds a Ph.D. in Economics and brings with him over 25 years of trading experience in Asia and hands on experience in Venture Capital, he has been involved in several start ups that have seen market capitalization over $500m and 1 that reach a peak market cap of $15b. He has managed and overseen start ups in Mining, Shipping, Technology and Financial Services.

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