Sunny Optical Technology
This researcher and manufacturer of optical and optical-related products breached the immediate resistance of HKD115 on strong momentum, and may extend the uptrend. The stock has also broken out from its sideways consolidation zone, as buying interest is gaining traction. If the positive momentum follows through, expect it to climb towards HKD123.80, followed by HKD130. Towards the downside, breaching below the HKD105 support would indicate that the bearish bias is emerging again.
Hua Hong Semiconductor
Hua Hong surged past the immediate resistance of HKD27 on high trading volume, and was poised to test the upside resistance. Note that the stock has crossed above the 21-day SMA line and managed to formed a fresh “higher high” bullish pattern. With the bulls in control now, the stock should scale towards HKD29, followed by HKD31.50. However, if it retraces below the HKD24.50 support, this would be deemed as a false breakout and will negate the research house’s expectation.
