Quarterly Outlook
Macro Outlook: The US rate cut cycle has begun
Peter Garnry
Chief Investment Strategist
Technical Analyst, Saxo Bank
Hang Seng Index closed Wednesday morning just above key resistance at around 17,135.
The strength indicator, RSI closed back above the 60 threshold supporting the confirming Hang Seng has established a bullish trend that could take the index resistance at around 18,173
The declining daily 200 moving average will give some resistance but most likely not strong enough to keep the Index from progressing to 18K
To demolish this bullish scenario a close below 16,341 is necessary
HK50 CFD is testing its resistance at around 17,159. However, RSI closed above 60 threshold supporting a bullish trend with potential up to around 18,000-18,330
A daily close below 16,330 will demolish the bullish picture