HSI Futures Retracing Mildly From The Top: RHB Research

The reseach house is to maintain its ‘LONG’ positions on the HSI futures.

The HSIF saw profit-taking yesterday, declining 164 points to settle at 21,936 points during the day session. It then fell another 96 points during the evening session and last traded at 21,840 points. The latest closing level indicates that selling pressure occurred below the 22,335-point resistance level, following the recent rally. As the index maintained its “higher high” and “higher low” bullish structure above the 20-day average line, the research house expects the medium-term bullish momentum to remain intact.

In the immediate term, RHB Research expects the index to oscillate between the 22,335-point immediate resistance and 20-day average line (21,262 points) as the RSI has started pointing lower, at 49% yesterday (below the 50% threshold). As the counter-trend rebound remains in play, the research house is keeping to their positive trading bias.

They further recommend that traders should maintain the long positions initiated at 21,466 points, or the close of 17 March’s day session. To mitigate the downside risks, the initial stop-loss threshold is set at 20,872 points or 18 March’s low.
The immediate support is marked at 20,872 points – 18 March’s low – followed by 20,000 points. The immediate resistance is pegged at 22,335 points – 28 February’s low – followed by 23,272 points, which was the low of 31 January.

Previous articleHibiscus Linked 3D Oil Australia Makes Significant Oil Discovery at Pavo Exploration Well
Next articlePrice Of CKD Vehicles Could Go Up 8-20 Percent Next Year

LEAVE A REPLY

Please enter your comment!
Please enter your name here