Shanghai: SSE Composite Index (.SSEC) slide amid worries about U.S.-China trade relations

Shanghai: SSE Composite Index (.SSEC) slide amid worries about U.S.-China trade relations

Shanghai: SSE Composite Index (.SSEC) slide amid worries about U.S.-China trade relations

Asian stock markets gave up an early lead on Monday, with Chinese stocks leading the declines, amid worries about U.S.-China trade relations and the health of the tech sector on Wall Street.

Down from the start of trading, the Shanghai Composite SHCOMP, -2.18% finished down 2.2% and the smaller-cap Shenzhen Composite 399106, -2.02% fell 1%.

Hong Kong stocks joined regional peers recovering from Friday’s global selloff, though early out-of-gate gains were whittled in a few minutes. The benchmark Hang Seng Index HSI, +0.38% finished up 0.4%, after rising 1% gain the open. Among active Chinese property developers, Sino Land 0083, -2.39% , fell over 2%, while China Resources Land 1109, +1.15% finished up 1.1%.

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 2,741.25.

The projected upper bound is: 2,663.08.

The projected lower bound is: 2,411.00.

The projected closing price is: 2,537.04.

Candlesticks

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 25 white candles and 25 black candles.

Momentum Indicators

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 46.8998. 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 39.86. 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 -58. This is not a topping or bottoming area. The last signal was a buy 6 period(s) ago.

MACD

The Moving Average Convergence/Divergence indicator (MACD) gives signals when it crosses its 9 period signal line. The last signal was a buy 2 period(s) ago.

Rex Takasugi – TD Profile

SSE COMPOSITE closed down -56.743 at 2,542.103. Volume was 2% above average (neutral) and Bollinger Bands were 57% wider than normal.

Open High Low Close Volume___
2,593.5912,595.5372,529.1882,542.10313,424,192,512

Technical Outlook
Short Term: Neutral
Intermediate Term: Bearish
Long Term: Bearish

Moving Averages: 10-period 50-period 200-period
Close: 2,574.26 2,689.19 3,019.83
Volatility: 39 30 24
Volume: 15,276,286,976 12,424,060,928 15,123,347,456

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.

Summary

SSE COMPOSITE is currently 15.8% 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 .SSEC at a relatively equal pace (neutral). Our trend forecasting oscillators are currently bearish on .SSEC and have had this outlook for the last 11 periods.

The following two tabs change content below.
HEFFX has become one of Asia’s leading financial services companies with interests in Publishing, Private Equity, Capital Markets, Mining, Retail, Transport and Agriculture that span every continent of the world. Our clearing partners have unprecedented experience in Equities, Options, Forex and Commodities brokering, banking, physical metals dealing, floor brokering and trading.

You must be logged in to post comments :  
CONNECT WITH