Investment 25/8/2023

The HSI opened 146 points higher and then extended its gains to 427 points. It hit a high of 18,272 points and closed at 18,212 points, up 366 points. The HS technology index closed at 4,158 points, up 149 points. The full-day turnover of the Main Board was HK$101.5 billion. 

The HSI has risen for 3 consecutive days and has 3 consecutive white candlesticks. It finally recovered the 18,000 point integer psychological barrier yesterday, but it is limited by the resistance of the 10-DMA (18,252). points, followed by 18,792 to 19,049 points on August 14. Therefore, even if there is a short-term rebound, 18,440 points will meet resistance, and the trend will only change if it breaks through 19,049 points. If there is no major positive news, the market is likely to fall but not to rise, and we will see whether the low of 17,573 points on Tuesday can hold steady. After rebounding, it fell back again. The support level was the rising gap of 17,364 to 17,536 points on November 29 last year. If it is fully covered and continues to find a bottom, the next support level is 16,600 to 16,800 points. As the Hang Seng Index fell below the double top neck line, with a downside target of 16,198 points. 

U.S. bond yields have fallen from high levels, and the U.S. dollar has also weakened somewhat, which is slightly positive for the market. However, the mainland has not yet seen specific favorable policies, which disappointed the market. Investors are cautious about the macroeconomic outlook. It is believed that Hong Kong stocks have little room for rebound. The Hang Seng Index is expected to maintain a pattern of ups and downs. Whether the market can continue to rise, the mainland's real economic stimulus policy is one of the keys, and the second is the direction of the renminbi, and the appreciation and depreciation of the renminbi not only depends on the economic situation in the mainland, but also need to pay attention to the Federal Reserve Chairman Powell's meeting in Jackson tonight in Hong Kong time Jackson Hole's speech at the annual meeting of global central banks, if the tone is dovish, the dollar's fall can also ease the pressure on the RMB. 

European stocks developed individually. British stocks rose 0.18%, while French and German stock markets fell 0.44% and 0.68% respectively. 

Although chip giant Nvidia (Nvidia) performed well, U.S. bond yields rose before Federal Reserve Chairman Powell’s speech on Friday. U.S. stocks fluctuated on Thursday. However, it quickly fell back and gradually expanded the decline. It once fell 379 points, reaching a low of 34,093. The Nasdaq once rose 0.83% and then turned down, and the S&P 500 ended up closing close to the day's low. All three major indexes fell more than 1%.

 At the close of the US market, the Dow continued to fall by 373 points to 34,099; the S&P fell 59 points to 4,376; the Nasdaq fell 257 points to 13,463.