$Hang Seng Index (800000.HK)$After quickly dropping to the support level near 24,500 at today's opening, the market gradually rebounded during trading hours. Two consecutive days of gains may have somewhat alleviated the pessimism caused by the previous continuous declines.
From the recent two-day price action, the index seems to have some support around 24,500. However, we shouldn’t be overly optimistic. First, today’s trading volume did not increase but instead contracted compared to yesterday, which indicates either a rise on low volume or a consolidation phase. Secondly, the index has not yet risen above the 30-day moving average. Overall, it is still necessary to observe future market trends before making decisions. However, I believe that while the index is consolidating in the middle range, continuing to trade with a strategy of selling high and buying low would suffice.
It is worth noting that previously, due to being caught in a cash flow crisis, $KAISA GROUP (01638.HK)$it finally resumed trading today, surging as much as 20% after the resumption of trading. By the close, it pared some gains, settling at 1.15, up 13.86%.
According to its announcement, Kaisa Group plans to improve liquidity by selling certain assets, a measure similarly adopted by another real estate company when it faced a liquidity crunch. There is no denying that increasing liquidity through asset sales might help Kaisa temporarily alleviate its cash flow difficulties. Looking ahead, I think we need to wait for signs of bottom consolidation to appear, after all...