The HSIF recovered most of its intraday losses following a robust rebound observed from the intraday low – concluding the session with a neutral tone at 16,613 pts.
RHB Retail Research in a note today (Dec 22) said after opening at 16,628 pts, the index experienced a sharp decline towards the 16,370 pts intraday low before strong buying pressure intervened, ultimately closing just beneath the opening level.
During the evening session, the index improved by 70 pts and last traded at 16,683 pts, signalling a potential rebound from the recent pullback.
The appearance of a “hammer” candlestick yesterday suggests limited downside from the recent pullback – indicating a potential rebound ahead with an eye on the 17,000 pts threshold.
The RSI momentum indicator improved mildly to 45% – yet to enter positive territory. Pending a strong rebound breaching above the 17,000-pt threshold, we maintain our cautious trading bias.
