Hong Kong shares ended Tuesday roughly flat on Tuesday, as China’s June inflation accelerated, showing little impact from the escalating trade frictions with the United States, which threaten to hurt Chinese exports and dampen business sentiment.
The Hang Seng index was unchanged at 28,682.25, while the China Enterprises Index gained 0.5 percent, to 10,824.97 points.
China’s producer inflation accelerated to a six-month high in June, while annual consumer inflation also edged up as food prices rose at a faster pace, official data showed on Tuesday.
The sub-index of the Hang Seng tracking energy shares rose 1.4 percent while the IT sector dipped 2.07 percent, the financial sector was 0.38 percent higher and property sector dipped 0.04 percent. ** The top gainer on Hang Seng was CNOOC Ltd up 2.52 percent, while the biggest loser was China Mengniu Dairy Co Ltd which was down 3.93 percent.
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 29,835.86.
The projected upper bound is: 29,622.05.
The projected lower bound is: 27,676.61.
The projected closing price is: 28,649.33.
A black body occurred (because prices closed lower 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 25 white candles and 25 black 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 67.0265. This is not an overbought or oversold reading. The last signal was a buy 6 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 39.65. 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 buy 6 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 3. This is not a topping or bottoming area. The last signal was a buy 2 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 buy 0 period(s) ago.
Rex Takasugi – TD Profile
HANG SENG INDEX closed down -6.250 at 28,682.250. Volume was 16% below average (neutral) and Bollinger Bands were 67% wider than normal.
Open High Low Close Volume___
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish
Moving Averages: 10-period 50-period 200-period
Close: 28,534.58 30,156.62 29,988.53
Volatility: 20 21 21
Volume: 2,359,682,048 2,032,671,872 2,179,132,928
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 4.4% below its 200-period moving average and is in an downward trend. Volatility is relatively normal as compared to the average volatility over the last 10 periods. Our volume indicators reflect moderate flows of volume out of .HSI (mildly bearish). Our trend forecasting oscillators are currently bearish on .HSI and have had this outlook for the last 14 periods.