Hang Seng Index Futures: Hovering Sideways Near 20,000 Pts
RHB Research has reiterated its ‘short’ positions on HSI futures.
The HSIF bulls attempted to build an interim base near the 20,000-pt level yesterday – the index rebounded 7 points to settle the day session at 20,121 points. It then climbed 62 points during the evening session and last traded at 20,183 points. For the past six sessions, the HSIF has been gyrating at the 20-day SMA line. If it manages to stand firm above this moving average line, the bulls will climb further to test the 50-day SMA line. However, if the index falls below the short-term moving average line, the bears will drive the HSIF lower. The 20-day SMA line is trending below the 50-day SMA line. Hence, the bearish set-up remains valid. The index has to break past the 50-day line to kick off the upward trajectory. As such, the research house is keeping to their negative bias until the stop-loss is breached.
WTI Crude : Black Gold Moving Sideways
While ‘long’ positions are being maintained by RHB Research on WTI Crude.
The WTI Crude moved in a sideways direction yesterday to close a mere USD0.56 higher at USD110.33, ie below the previous day’s high. The black gold opened at USD110.39 and oscillated between USD111.68 and USD109.23 before the close. The sideways movement suggests the WTI Crude is demonstrating a neutral movement to pause the recent pullback. Since the RSI is pointing at the 54% level, it is expected buying pressure to re-emerge in the coming sessions – to change from a neutral momentum to a positive one and propel the WTI Crude beyond the USD115.56 threshold. On that basis, the research house retains their bullish trading bias, unless the stop-loss threshold is breached.
COMEX Gold: Strong Profit-Taking Near The 20-Day SMA Line
The research house calls for ‘long’ positions for COMEX Gold.
The COMEX Gold underwent strong profit-taking yesterday, retreating USD18.90 and closing at USD1,852.50 – it slipped below the 20-day SMA line. The commodity initially started off the session at USD1,871.20. After touching the USD1,872.70 day high, it retraced to the USD1,845 day low before the close. Compared to the previous session, this latest one charted a fresh “lower high” with “lower low”, suggesting the bullish momentum is moderating. If the COMEX Gold continues to stay below the 20-day SMA line, it may correct towards the USD1,830 support. Meanwhile, USD1,875 has become the immediate resistance. Breaching the immediate threshold should resume the upside movement. For now, ‘long’ call is retained as positive trading bias is held until the stop-loss mark is breached.
