Quarterly Outlook
Macro Outlook: The US rate cut cycle has begun
Peter Garnry
Chief Investment Strategist
Technical Analyst, Saxo Bank
Hang Seng Index got rejected at the 7th February peak at around 16,408. Despite closing above its upper falling trendline the Index could resume downtrend.
RSI is still showing negative sentiment and needs to close above for positive.
If Hang Seng is sliding back below the falling trendline it could be an indication of bearish trend to resume.
A close blow 15,411 will confirm that with potential below 15K. A close above 16,408 combined with an RSI close above 60 threshold will confirm a bullish scenario with short-term potential to around 17K
HK50 cfd levels: Resistance at around 16,390. Key support at aorund 15,408