$9988.HK #Alibaba #Target #Price #HongKong #HSI #Stocks #Trading
A new share index focused on China’s technology giants has been launched by Hong Kong’s stock market.
The Hang Seng Tech Index went live on Monday and includes internet giants such as Tencent, Alibaba and JD.com.
It will feature 30 of the largest tech firms listed in Hong Kong, which are among the world’s biggest companies.
The new index comes as Chinese tech firms face greater scrutiny in the US, with many looking at listings in both Hong Kong and China.
Jack Ma, the billionaire founder of Alibaba, recently announced plans to list its affiliate financial arm Ant Group in Hong Kong.
Alibaba, NetEase and JD.com are three tech giants that have recently listed in Hong Kong amid growing tensions between the US and China. They are included in the new Hang Seng Tech Index.
The Ant Group is described as the world’s most valuable unicorn – a start-up that has grown to a value of more than $1bn (£778m).
Once publicly listed, it should also move into the index.
Ant Group, a financial technology (fintech) firm, also wants to list on China’s tech-centric Star stock market as it shuns a US stock market listing.
Analysts say the Hang Seng Tech index will attract investors to other Hong Kong tech stocks and look beyond the more well-known Hang Seng Index which is dominated by banks, property firms and energy companies.
ALIBABA GROUP HOLDING LIMITED is a holding company that provides the technology infrastructure and marketing reach to help merchants, brands and other businesses to leverage the power of new technology to engage with users and customers to operate.
The Company operates four business segments. The Core Commerce segment provides China retail, China wholesale, International retail, International wholesale, Cainiao logistics services and local consumer services through Taobao Marketplace and Tmall.
The Cloud Computing segment provides complete suite of cloud services, including database, storage, network virtualization services, big data analytics and others.
The Digital Media and Entertainment segment provides consumer services beyond the core business operations.
The Innovation Initiatives and Others segment is to innovate and deliver new services and products.
Overall, the bias in prices is: Upwards.
Note: this chart shows extraordinary price action to the upside.
By the way, prices are vulnerable to a correction towards 219.21.
The projected upper bound is: 263.57.
The projected lower bound is: 224.03.
The projected closing price is: 243.80.
A white body occurred (because prices closed higher than they opened).
During the past 10 bars, there have been 6 white candles and 4 black candles for a net of 2 white candles. During the past 50 bars, there have been 24 white candles and 25 black candles for a net of 1 black candles.
A spinning top occurred (a spinning top is a candle with a small real body). Spinning tops identify a session in which there is little price action (as defined by the difference between the open and the close). During a rally or near new highs, a spinning top can be a sign that prices are losing momentum and the bulls may be in trouble.
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.
One method of interpreting the Stochastic Oscillator is looking for overbought areas (above 80) and oversold areas (below 20). The Stochastic Oscillator is 36.9403. This is not an overbought or oversold reading. The last signal was a buy 7 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 55.48. 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 11 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 -24. This is not a topping or bottoming area. The last signal was a sell 11 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 8 period(s) ago.
Rex Takasugi – TD Profile
BABA-SW closed down -1.600 at 243.000. Volume was 60% below average (consolidating) and Bollinger Bands were 33% wider than normal.
Open High Low Close Volume 242.200 244.000 241.200 243.000 10,549,764
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.
Our trend forecasting oscillators are currently bullish on 9988.HK and have had this outlook for the last 36 periods.