Home Forex Markets The Year of the Tiger ends, the Hang Seng Technology Index (HSTECH) closes up at a high level, and the market outlook has huge potential

The Year of the Tiger ends, the Hang Seng Technology Index (HSTECH) closes up at a high level, and the market outlook has huge potential

by WOOWinvest
0 comment
The Year of the Tiger ends, the Hang Seng Technology Index (HSTECH) closes up at a high level, and the market outlook has huge potential

As China’s economic momentum gathers, foreign capital starts to buy, buy and buy, and the stock markets in China and Hong Kong continue to rebound. On the last trading day of the Year of the Tiger, the Hang Seng Index stood above the 22,000 mark, and the Hang Seng Index closed up at a high level.

The Hang Seng Technology Index (HSTECH) adjusts its constituent stocks at the end of each month, and the latest update time is December 31, 2022. After adjustment, the three companies with the largest proportion since January 2023 are: Kuaishou, Tencent Holdings and Meituan. The stock prices of these three companies have the greatest impact on the trend of the Hang Seng Technology Index.

market atmosphere

Hong Kong stocks continue to be affected by the trend of mainland China and the US stock market. At present, China has great potential for recovery. Driven by the Fed’s slowdown in raising interest rates and the weakening of the US dollar, foreign capital continues to flow in. The market sentiment before the Spring Festival is excellent.

Overseas, cooling U.S. inflation stimulated market bets that the Federal Reserve would slow down interest rate hike expectations, but U.S. economic data still sparked fears of a recession. At the same time, the market is in the US stock earnings season, and the performance of listed companies plays an important leading role in the market. In general, the impact of external markets on the Chinese and Hong Kong stock markets is getting smaller and smaller.

In mainland China, after the first wave of infection peaked in mainland China, economic momentum and consumption expectations gathered, and foreign capital continued to flow into the Chinese and Hong Kong stock markets, which greatly restored market sentiment. The stock markets in China and Hong Kong rarely maintained gains before the festival. It is expected that the market will still maintain its upward trend after the holiday.

Next, the stock markets of the two places will enter the Spring Festival holiday, and the Hong Kong stock market will open on January 26 (Thursday).

In addition to breakthrough trading, shock trading is a commonly used technique. How to make reasonable use of support and resistance, and how to identify false breakthroughs? Keep this guide handy!

chart trend

The Year of the Tiger ends, the Hang Seng Technology Index (HSTECH) closes up at a high level, and the market outlook has huge potential

HSTECH continued to rebound, and the support moved up from 4000 to 4400. As the Hang Seng Technology Index stabilized above 4400, it is expected to further look at the resistance of 4800-5000; if it falls below 4400 in the market outlook, it will return to the 4000-4400 range. weakened.

strategic orientation

In the long run, the valuation of Hong Kong stocks is low, and the Hang Seng Technology Index has concentrated the best technology and Internet stocks in Hong Kong. However, new changes are taking place in the macro fundamentals, especially the weakening expectations of the Fed’s interest rate hike. After the relaxation of China’s epidemic prevention and control, the economic momentum has re-gathered. Foreign capital has refocused on the pricing of the Chinese and Hong Kong stock markets. Hang Seng Technology Index ETF is preferred. The previous regular investment has continued to make profits, and it is still at a relatively low point. It is advisable to consider holding it firmly and wait for the market to continue to rise.

(by Arthur)

Follow me on Twitter @ArthurZ22426704

The time has come for Hong Kong stocks to rise, do you still want to stand on the sidelines?Get the latest outlook now

The content on this web page is general market commentary only and may not constitute investment advice of any kind (tax, legal, accounting). This article does not constitute a direct investment invitation or recommendation for specific financial products. The content is for reference only. Readers should not rely on the information herein, nor should their actions or omissions be relied upon. We are not responsible for the results of any person’s actions or omissions based on this article. We make no warranties as to the accuracy of the content or suitability of the information provided. This article is not intended to be disseminated within the territory of the People’s Republic of China (excluding Hong Kong, Macau and Taiwan for that matter), except as permitted by the applicable laws of the People’s Republic of China.

Copyright statement: Unless it is for browsing the information on this website, or in accordance with the applicable laws or the terms and conditions, without our specific written permission, no one may copy, usurp, upload, link, or publicly demonstrate to a third party in any way , distribute or transmit any information or content on this website. For unauthorized reprinting of infringements, we reserve the right to further pursue the legal responsibility of the relevant actors. If you have business cooperation needs such as marketing, resource exchange, etc., please contact us.

element inside the element. This is probably not what you meant to do! Load your application’s JavaScript bundle inside the element instead.

You may also like

Leave a Comment

Our Mission is to help you make better trading decisions by providing actionable investing content, comprehensive tools, educational resources and assist you in making more money in the stock market.

Latest News


Subscribe my Newsletter for new blog posts, tips & new photos. Let's stay updated!

@2022 – All Right Reserved. Designed and Developed by WOOW Invest

This website uses cookies to improve your experience. We'll assume you're ok with this, but you can opt-out if you wish. Accept Read More

Privacy & Cookies Policy