Hong Kong: HANG SENG INDEX (.HSI) investors staying on the sidelines awaiting hints of further policy support
Hong Kong stocks eased on Monday, as investors stayed on the sidelines awaiting hints of further policy support to offset impacts of U.S.-China trade war and cooling domestic demand, amid worries about the economy.
At the close of trade, the Hang Seng index was down 65.84 points, or 0.24%, at 27,288.09. The Hang Seng China Enterprises index fell 0.41% to 10,402.76.
The biggest loser on the Hang Seng was Want Want China Holdings Ltd, which fell 2.41%, while the top gainer was Sino Biopharmaceutical Ltd, rising 6.93%.
Overall, the bias in prices is: Downwards.
Note: this chart shows extraordinary price action to the downside.
By the way, prices are vulnerable to a correction towards 28,393.54.
The projected upper bound is: 28,094.78.
The projected lower bound is: 26,432.79.
The projected closing price is: 27,263.79.
A white body occurred (because prices closed higher 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 26 white candles and 24 black candles for a net of 2 white candles.
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 16.0303. This is an oversold reading. However, a signal is not generated until the Oscillator crosses above 20 The last signal was a buy 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 28.23. This is where it usually bottoms. The RSI usually forms tops and bottoms before the underlying security. A buy or sell signal is generated when the RSI moves out of an overbought/oversold area. The last signal was a buy 3 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 -116.This is an oversold reading. However, a signal isn’t generated until the indicator crosses above -100. The last signal was a buy 3 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 24 period(s) ago.
Rex Takasugi – TD Profile
HANG SENG INDEX closed down -65.840 at 27,288.090. Volume was 33% below average (neutral) and Bollinger Bands were 93% wider than normal.
Open High Low Close Volume___
Short Term: Oversold
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 27,767.22 29,110.21 27,483.39
Volatility: 14 18 22
Volume: 2,141,327,616 1,969,673,088 1,851,052,416
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.
HANG SENG INDEX is currently 0.7% below its 200-period moving average and is in an downward trend. Volatility is high as compared to the average volatility over the last 10 periods. Our volume indicators reflect volume flowing into and out of .HSI at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on .HSI and have had this outlook for the last 13 periods. Our momentum oscillator is currently indicating that .HSI is currently in an oversold condition.