RHB Investment Bank Bhd’s research arm is maintaining its positive trading bias on Hang Seng Index Futures (HSIF), with a breakout above 26,000 points potentially opening the way towards 26,750 points.
RHB Research said HSIF continued to chart a higher high on Friday, gaining 36 points to close at 25,940 points. The index opened at 25,900 points and climbed to an intraday high of 26,138 points before closing lower.
In the evening session, HSIF slipped 18 points and was last traded at 25,992 points.
While Friday’s bullish candlestick supports the positive momentum, RHB Research said the 26,000-point resistance remains intact as the index closed below that level. However, the upward-pointing RSI suggests the positive price action could continue in the coming sessions.
A close above 26,000 points could attract fresh buying interest towards 26,750 points. Until then, RHB Research said it would maintain its positive trading bias.
The research house recommended that traders hold the long position initiated at 24,657 points, based on the July 15 close, with a stop-loss threshold of 23,500 points.
The immediate support levels are at 24,200 and 23,500 points, while resistance is seen at 26,000 and 26,750 points.
