Hang Seng Index/HK50 bounced strongly Friday morning from August lows at 17,573 forming a Bullish Engulfing bottom and reversal candle in the process. The move engulfs the previous two trading days.
With RSI divergence a reversal is likely, however short-lived it might be. A reversal that could take Hang Seng to its resistance at around 18,900.
If closing above 18,900 short-term uptrend has been confirmed.
For Hang Seng to resume downtrend a close below 17,573 that would lead to a sell-off down to 17K