HANG SENG RISES AS CORONAVIRUS DEATHS DROP
Hang Seng futures are currently trading at 27735-higher by 0.67% as compared to the previous closing price. The contract closed in the positive territory in the last trading session also.
In the Cash Markets, the Hang Seng index added 0.31% to close at 27,815.60 on Friday.
The index rose today as the daily death tolls in the epicentre of the China-linked virus outbreak returned to lower levels.
The daily death toll in Hubei halved and the number of new cases fell from a record posted on Thursday.
The Hang Seng index advanced 1.5% for the week. The benchmark index posted a second straight weekly gain this week.
The Hang Seng China Enterprises Index gained 0.26% to close at 10,863.45 on Friday. For the week, the index was up 1.48%.
The sub-index of the benchmark tracking energy stocks added 0.1%, the financial sector rose 0.5%, the property sector ended 1% higher and the IT sector slipped 0.8%.
Top gainers in the index include- Techtronic Industries Co Ltd (surged 2.5%), Wharf Real Estate Investment Company Ltd (rose 2.3%) and Hang Lung Properties Ltd (advanced 2.1%).
Top losers in the index include- AAC Technologies Holdings Inc. (fell 2.6%), Shenzhou International Group Holdings Ltd. (declined 1.5%) and China Mobile Ltd (dropped 1.4%) on Friday.
Around 1.45 billion Hang Seng index stocks were traded today. The trading volume was 1.62 billion on Thursday.
On the technical front, the RSI is currently at 53.97% and suggests that the market can move in the downward direction. The current price is above the MA5. The %K has crossed the %D from below to the upside at around 4% and suggests that the market can move in the upward direction.
Overall Bias is Positive and short-term trades can be initiated with tight Stop Loss and Take Profit targets. This trade can remain valid until Monday.
Trade Suggestion- Limit Buy At 27720 Take Profit At 27840 Stop Loss At 27660