Macro: Sandcastle economics
Invest wisely in Q3 2024: Discover SaxoStrats' insights on navigating a stable yet fragile global economy.
You can access both of our platforms from a single Saxo account.
Technical Update - Hang Seng/HK50 and China A50 are drawing bearish pictures. Nikkei/JP225 range bound correction
Kim Cramer Larsson
Technical Analyst, Saxo Bank
Hang Seng Index have found support at 18,562 and RSI at the 40 threshold meaning it is still in positive sentiment. However, the Hang Seng trend is down, MACD is suggesting lower Index levels, it is most likely just a matter of time before also RSI will confirm the downtrend.
A close below 18,562 is likely to further fuel the sell-off down to strong support at around 18K. Some support at around 18,343
The HK50 cfd is at the time of writing trading lower below the support and the RSI is currently below 40 threshold indicating lower levels. A sell-off down to support at around 18,226 would be a likely scenario.
A close above 19,495 and HK50 will turn bullish
FTSE China A50 future has been sold off heavily the past two trading sessions to the 0.786 retracement at 12,662. Below the all Moving Average; the 55, 100 and 200 daily Moving Averages.
A50 still hasn’t closed below the Cloud and RSI is still above 40 threshold which could indicate a bounce from current levels.
A possible bounce to top of the Cloud at around 12,865 before selling pressure is likely to resume
A close below the Cloud and an RSI close below 40 is likely to push A50 to test and penetrate the support at around 12,200.
A close above 13,064 thereby a close above the 200 daily Moving Average and the A50 is likely to resume uptrend. JP225 cfd is in a range bound corrective phase between 31,770 and 33,400. That range bound behaviour could continue a few days more.
If breaking below 31,770 bearish a sell-off down to support around 30,600 could be seen. However, the Cloud and 100 daily Moving Average will provide support and there is support at around 31,350 which could cut short a bearish breakout.
Latest Market Insights
Quarterly Outlook 2024 Q3
Sandcastle economics
-
-
Bonds: What to do until inflation stabilises
Discover strategies for managing bonds as US and European yields remain rangebound due to uncertain inflation and evolving monetary policies.
-
Equities: Are we blowing bubbles again
Explore key trends and opportunities in European equities and electrification theme as market dynamics echo 2021's rally.
-
FX: Risk-on currencies to surge against havens
Explore the outlook for USD, AUD, NZD, and EM carry trades as risk-on currencies are set to outperform in Q3 2024.
-
Commodities: Energy and grains in focus as metals pause
Energy and grains to shine as metals pause. Discover key trends and market drivers for commodities in Q3 2024.