The HSIF staged a strong rebound from the 15,000-pt level to close at 15,311 pts.
RHB Retail Research in a note today (Jan 24) said it started off at 14,969 pts and set a foothold at the low of 14,957 pts.
It then climbed to the day’s high of 15,538 pts before the close.
The positive momentum continued in the evening, with the index gaining 321 pts.
It was last traded at 15,632 pts. The positive price action confirmed that the 15,000-pt level remains a key support.
As long as the index continues to trade above this support level, the bulls will attempt to climb towards the 20-day SMA line.
For now, the index is still trading below the 20-day and 50-day SMA lines, which are both trending downwards.
Despite the index staging a counter-trend rebound, the bearish setup remains intact.
As such, we hold on to the negative bias.
