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How to view the post-holiday market trend in Hong Kong stocks?
港股窩輪Jenny
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SenseTime (00020) surged to a new high but pulled back sharply. Is this an opportunity to position?

As the leading stock in the AI sector, $SENSETIME-W (00020.HK)$ recent performance has been volatile. In the last trading session, the share price reached a new stage high of HK$2.8, but today it retreated significantly. By noon, it had plunged over 6%, now trading at HK$2.6, with short-term volatility increasing dramatically, also sparking market divergence on future trends.
From the moving average system perspective, despite the pullback today, the share price remains firmly above the 10-day moving average (HK$2.57) and the 30-day moving average (HK$2.50), approximately 13% higher than the longer-term 60-day moving average (HK$2.31). Short, medium, and long-term moving averages still maintain a bullish alignment, meaning the intermediate upward trend has not been completely disrupted. This pullback appears more like a normal technical correction following a rapid rise.
Investors should closely monitor divergent signals from technical indicators: The Stochastic Oscillator entered overbought territory in the previous trading session, but with the share price retreating today, it has begun to correct downwards, gradually releasing accumulated profit-taking pressure. The CCI indicator is also falling from its highs, showing that short-term upward momentum has weakened but has not yet entered oversold territory, indicating the movement is still within a relatively healthy adjustment range. The RSI index fell from a previous high of 71, reflecting that overheated bullish sentiment has cooled somewhat, which will help ensure subsequent moves remain healthier.
In terms of price levels, the first support level for SenseTime is currently at HKD 2.57, coinciding with the 10-day moving average and also the lower boundary of the previous dense trading zone. If the stock price finds support at this level, the short-term adjustment space will be relatively limited; the second support level extends down to HKD 2.44, corresponding to the 30-day moving average, an important strong support for the medium-term trend. A break below this level would signal caution regarding a potential weakening of the medium-term trend. On the upside, the first resistance level remains the recent high of HKD 2.8 touched earlier; if there’s significant volume breaking through this level subsequently, the stock could target the second resistance level at HKD 3.1, opening up a new round of upward movement.
Notably, even though the stock price has shown a significant pullback, the current trading volume remains at high levels, indicating ample market liquidity and showing that investor interest in this stock hasn’t declined, with considerable divergence between bulls and bears at current levels. Based on a comprehensive analysis of various technical indicators, the overall technical signal for SenseTime is currently a 'sell' with a signal strength of 9, as multiple moving averages are simultaneously issuing strong sell signals. Additionally, momentum oscillators are showing bearish divergence sell signals. Under the resonance of multiple signals, short-term adjustment pressure persists. However, from a medium-term perspective, the long-term logic of the artificial intelligence sector remains intact, and if the stock price can stabilize effectively within the support range of HKD 2.57–2.44, it still has the potential for another upward move.
As the leading stock in the AI sector, $SENSETIME-W (00020.HK)$ recent performance has been volatile. In the last trading session, the share price reached a new stage high of HK$2.8, but today it retreated significantly. By noon, it had plunged over 6%, now trading at HK$2.6, with short-term volatility increasing dramatically, also sparking market divergence on future trends. From the moving average system perspective, despite the pullback today, the share price remains firmly above the 10-day moving average (HK$2.57) and the 30-day moving average (HK$2.50), approximately 13% higher than the longer-term 60-day moving average (HK$2.31). Short, medium, and long-term moving averages still maintain a bullish alignment, meaning the intermediate upward trend has not been completely disrupted. This pullback appears more like a normal technical correction following a rapid rise. Investors should closely monitor divergent signals from technical indicators: The Stochastic Oscillator entered overbought territory in the previous trading session, but with the share price retreating today, it has begun to correct downwards, gradually releasing accumulated profit-taking pressure. The CCI indicator is also falling from its highs, showing that short-term upward momentum has weakened but has not yet entered oversold territory, indicating the movement is still within a relatively healthy adjustment range. The RSI index fell from a previous high of 71, reflecting that overheated bullish sentiment has cooled somewhat, which will help ensure subsequent moves remain healthier. In terms of price levels, SenseTime’s first support level is currently at HK$2.57, exactly coinciding with the 10-day moving average, as well as the lower boundary of the previous heavy trading zone. If the share price...
As the leading stock in the AI sector, $SENSETIME-W (00020.HK)$ recent performance has been volatile. In the last trading session, the share price reached a new stage high of HK$2.8, but today it retreated significantly. By noon, it had plunged over 6%, now trading at HK$2.6, with short-term volatility increasing dramatically, also sparking market divergence on future trends. From the moving average system perspective, despite the pullback today, the share price remains firmly above the 10-day moving average (HK$2.57) and the 30-day moving average (HK$2.50), approximately 13% higher than the longer-term 60-day moving average (HK$2.31). Short, medium, and long-term moving averages still maintain a bullish alignment, meaning the intermediate upward trend has not been completely disrupted. This pullback appears more like a normal technical correction following a rapid rise. Investors should closely monitor divergent signals from technical indicators: The Stochastic Oscillator entered overbought territory in the previous trading session, but with the share price retreating today, it has begun to correct downwards, gradually releasing accumulated profit-taking pressure. The CCI indicator is also falling from its highs, showing that short-term upward momentum has weakened but has not yet entered oversold territory, indicating the movement is still within a relatively healthy adjustment range. The RSI index fell from a previous high of 71, reflecting that overheated bullish sentiment has cooled somewhat, which will help ensure subsequent moves remain healthier. In terms of price levels, SenseTime’s first support level is currently at HK$2.57, exactly coinciding with the 10-day moving average, as well as the lower boundary of the previous heavy trading zone. If the share price...
Product Picks:
For bullish investors who expect the stock price to stabilize at the first support level of HKD 2.57 and challenge the resistance levels at HKD 2.8 or even HKD 3.1, the call warrants of choice would be $BISENTM@EC2605A.C (23257.HK)$ and $SGSENTM@EC2605A.C (23331.HK)$ , both products have the same exercise price of HKD 3.01, leverage of 4.8x, low implied volatility, and their high-leverage attributes make them more suitable for capturing quick short-term upward movements.
If greater emphasis is placed on leverage flexibility, one could opt for $UB#SENTMRC2608A.C (69729.HK)$ and $JP#SENTMRC2608B.C (67136.HK)$ two bullish contracts with stop-loss levels set at HKD 2.22, providing over a 15% safety margin from the current stock price, enough to cover the buffer space of the first and second support levels, making them less likely to be forcibly redeemed due to short-term pullbacks. Moreover, both offer actual leverage of 4.4x and premiums among the lowest in comparable products, making them ideal for short-term swing trading.
As for bearish investors who believe short-term adjustment pressures will continue to release and that the stock price is likely to test support levels, they may consider choosing bear contracts accordingly, such as $JP#SENTMRP2611A.P (56972.HK)$ with a stop-loss level of HKD 2.95, offering extremely high actual leverage of 10.3x and the lowest premium among similar products, making it best suited for capturing highly elastic returns from rapid short-term declines. If the stock price falls below the support level at HKD 2.57, this product offers the most attractive profit elasticity. Meanwhile, $UB#SENTMRP2708B.P (59407.HK)$ with a stop-loss level of HKD 3.0, provides actual leverage of 8.7x and a relatively lower premium compared to JPMorgan 56972, offering slightly milder leverage but higher safety margins, making it suitable for investors with slightly lower risk tolerance to participate in short-term pullback opportunities.
As the leading stock in the AI sector, $SENSETIME-W (00020.HK)$ recent performance has been volatile. In the last trading session, the share price reached a new stage high of HK$2.8, but today it retreated significantly. By noon, it had plunged over 6%, now trading at HK$2.6, with short-term volatility increasing dramatically, also sparking market divergence on future trends. From the moving average system perspective, despite the pullback today, the share price remains firmly above the 10-day moving average (HK$2.57) and the 30-day moving average (HK$2.50), approximately 13% higher than the longer-term 60-day moving average (HK$2.31). Short, medium, and long-term moving averages still maintain a bullish alignment, meaning the intermediate upward trend has not been completely disrupted. This pullback appears more like a normal technical correction following a rapid rise. Investors should closely monitor divergent signals from technical indicators: The Stochastic Oscillator entered overbought territory in the previous trading session, but with the share price retreating today, it has begun to correct downwards, gradually releasing accumulated profit-taking pressure. The CCI indicator is also falling from its highs, showing that short-term upward momentum has weakened but has not yet entered oversold territory, indicating the movement is still within a relatively healthy adjustment range. The RSI index fell from a previous high of 71, reflecting that overheated bullish sentiment has cooled somewhat, which will help ensure subsequent moves remain healthier. In terms of price levels, SenseTime’s first support level is currently at HK$2.57, exactly coinciding with the 10-day moving average, as well as the lower boundary of the previous heavy trading zone. If the share price...
What do you investors think about SenseTime's recent pullback? Do you see it as short-term profit-taking or a signal of a阶段性 top? Feel free to share your views in the comments section.
Risk Warning: This article is for reference only and does not constitute any investment advice. The market data, opinions, and analysis contained herein may change at any time without prior notice. We are not responsible for any loss or damage caused by reliance on the information in this article. Technical analysis only shows whether certain technical conditions are met; asset performance should be comprehensively evaluated with other data, and trading decisions should not be made solely based on this article. Please note that past performance is not indicative of future results.
Remember to follow the 'HK Stock Warrants Jenny' account for more individual stock technical analysis and derivative product investment strategies.
#SenseTime #00020 #HongKongStockTechnicalAnalysis #ShortTermTrading #ArtificialIntelligenceSector #SupportAndResistanceLevels #HongKongStockInvestment #TechnicalIndicators #MovingAverages #HongKongTechStocks
$Hang Seng Index (800000.HK)$$Hang Seng TECH Index (800700.HK)$
Risk Disclaimer: The above content only represents the author's view. It does not represent any position or investment advice of Futu. Futu makes no representation or warranty.Read more
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