Hong Kong stocks rise as Chief Executive John Lee announces more Covid easing measures

Asia-Pacific markets traded mixed after Wall Street’s losses overnight as investors weighed headwinds for the economy in 2023.

Hong Kong’s Hang Seng index added 1.56% to 19,898.91, leading gains in the region and bucking the wider trend as Chief Executive John Lee announced further easing of Covid measures in the city.

Hong Kong stocks rise nearly 3%, leading gains in Asia-Pacific; yen strengthens

Hong Kong will remove all mandatory PCR tests for inbound travellers, Chief Executive John Lee said in a press briefing announcing further easing of the city’s Covid restrictions.

Lee added the city will also cancel the vaccine pass scheme, adding that the government will adopt “more targeted measures” for elderly vaccination.

Hong Kong will also remove all social distancing measures, including a ban on group gatherings of more than 12 people, Lee said, adding the measures will take into effect Dec. 29.

HANG SENG TECHNICAL ANALYSIS

DAILY CHART:

Hang Seng is currently trading in up channel.

Hang Seng is currently trading above all SMA

RSI is in buying zone which suggests bullishness and Stochastic is suggesting up trend.

Hang Seng immediate resistance is at 20128 & its immediate support level is 19399

HOW TO TRADE HANG SENG INDEX IN THIS WEEK

HANG SENG is trading in up channel; it will continue to trade upside, so remain bullish on it.

TRADE SUGGESTION-BUY AT 19695, TARGET AT 20151, SL AT 19399