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Earnings reports from Chinese giants raise concerns! Is it a good time to buy on dips？
港股窩輪Jenny
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The divergence between Hang Seng Index MACD and Williams %R suggests a potential market reversal from a technical perspective?

Last Friday (March 20th) $Hang Seng Index (800000.HK)$
The index closed at 25,277.32 points, down 0.88% for the day, with trading volume of 342.518 billion yuan. Technical indicators signal a buy with strength level 9. According to the indicators, the Williams %R is in oversold territory, giving a buy signal, while the Ichimoku Cloud suggests a possible bottom after excessive decline. Although the MACD signals a sell, several oscillating indicators show signs of improvement. Overall, following consecutive adjustments, conditions for a short-term technical rebound are gradually accumulating.
Last Friday (March 20th) $Hang Seng Index (800000.HK)$ The index closed at 25,277.32 points, down 0.88% for the day, with trading volume of 342.518 billion yuan. Technical indicators signal a buy with strength level 9. According to the indicators, the Williams %R is in oversold territory, giving a buy signal, while the Ichimoku Cloud suggests a possible bottom after excessive decline. Although the MACD signals a sell, several oscillating indicators show signs of improvement. Overall, following consecutive adjustments, conditions for a short-term technical rebound are gradually accumulating. Key support levels for the Hang Seng Index are seen at 24,898 points and 24,447 points, with resistance at 25,900 points and 26,762 points. It will be crucial to observe whether it can stabilize above the 25,900-point resistance level, which will determine the strength of the short-term rebound. Last Friday (20th), key blue-chip stocks showed mixed performance, AIA, $PING AN (02318.HK)$ 、 $HSBC HOLDINGS (00005.HK)$ recorded gains, while the remaining seven fell. Alibaba and Xiaomi saw significant declines. The technical indicator breakdown follows: 1. Oversold stocks: $TENCENT (00700.HK)$ Closed at 508 yuan, down 0.97%. The closing price was below all major moving averages, with RSI falling to 37, entering oversold territory. The technical buy signal strength is 11, indicating a strong short-term oversold rebound signal. $BABA-W (09988.HK)$ Closed at 123.7 yuan, down 6.29%, with RSI dropping to 31...
Key support levels for the Hang Seng Index are seen at 24,898 points and 24,447 points, with resistance at 25,900 points and 26,762 points. It will be crucial to observe whether it can stabilize above the 25,900-point resistance level, which will determine the strength of the short-term rebound.
Last Friday (March 20th) $Hang Seng Index (800000.HK)$ The index closed at 25,277.32 points, down 0.88% for the day, with trading volume of 342.518 billion yuan. Technical indicators signal a buy with strength level 9. According to the indicators, the Williams %R is in oversold territory, giving a buy signal, while the Ichimoku Cloud suggests a possible bottom after excessive decline. Although the MACD signals a sell, several oscillating indicators show signs of improvement. Overall, following consecutive adjustments, conditions for a short-term technical rebound are gradually accumulating. Key support levels for the Hang Seng Index are seen at 24,898 points and 24,447 points, with resistance at 25,900 points and 26,762 points. It will be crucial to observe whether it can stabilize above the 25,900-point resistance level, which will determine the strength of the short-term rebound. Last Friday (20th), key blue-chip stocks showed mixed performance, AIA, $PING AN (02318.HK)$ 、 $HSBC HOLDINGS (00005.HK)$ recorded gains, while the remaining seven fell. Alibaba and Xiaomi saw significant declines. The technical indicator breakdown follows: 1. Oversold stocks: $TENCENT (00700.HK)$ Closed at 508 yuan, down 0.97%. The closing price was below all major moving averages, with RSI falling to 37, entering oversold territory. The technical buy signal strength is 11, indicating a strong short-term oversold rebound signal. $BABA-W (09988.HK)$ Closed at 123.7 yuan, down 6.29%, with RSI dropping to 31...
Last Friday (20th), key blue-chip stocks showed mixed performance, AIA, $PING AN (02318.HK)$ 、 $HSBC HOLDINGS (00005.HK)$ recorded gains, while the remaining seven fell. Alibaba and Xiaomi saw significant declines. The technical indicator breakdown follows:
1. Oversold stocks: $TENCENT (00700.HK)$ Closed at 508 yuan, down 0.97%. The closing price was below all major moving averages, with RSI falling to 37, entering oversold territory. The technical buy signal strength is 11, indicating a strong short-term oversold rebound signal. $BABA-W (09988.HK)$ Alibaba closed at 123.7 HKD, down 6.29%, with RSI dropping to 31. The sharp decline has resulted in clear oversold signals, also triggering a buy signal with strength 11; $XIAOMI-W (01810.HK)$ Xiaomi closed at 33.2 HKD, down 8.59%. The technical signal has turned to 'buy,' and after rapidly releasing downward momentum, there may be a technical rebound.
2. Rebound Candidates: $AIA (01299.HK)$ Closing at HKD 86.05, up 3.93%, it moved against the market trend and stood above the 10-day moving average. The RSI rose to 52, entering the neutral zone, but technical signals turned to sell, indicating potential pullback pressure after a short-term rebound, and warning against blindly chasing highs.
3. Anti-fall stocks: $CCB (00939.HK)$ Closing at HKD 8.08, almost unchanged, it still stands firmly above all major moving averages, with an RSI of 58 showing relative strength. Technical signals are neutral, demonstrating relatively stable performance. $MEITUAN-W (03690.HK)$ Closing at HKD 79.15, down 1.92%, it barely held on to the 10-day moving average, showing better resistance to declines. The technical buy signal strength is 9, indicating potential for a rebound after adjustment.
The Hang Seng Index and several blue-chip stocks adjusted, with most stocks issuing oversold buy signals. Short-term rebound opportunities are embedded in the market divergence, with an overall neutral-to-bullish outlook.
Review and Selection of Warrants and Bull/Bear Contracts
Previous review:
The two Hang Seng Index-linked bull contracts recommended on March 16 performed well, $BI#HSI RC28098.C (69774.HK)$ with a two-day increase of 22%, $BI#HSI RC2807V.C (53747.HK)$ and a two-day increase of 19%, both following a small rebound in the Hang Seng Index, bringing investors good swing trading returns.
Last Friday (March 20th) $Hang Seng Index (800000.HK)$ The index closed at 25,277.32 points, down 0.88% for the day, with trading volume of 342.518 billion yuan. Technical indicators signal a buy with strength level 9. According to the indicators, the Williams %R is in oversold territory, giving a buy signal, while the Ichimoku Cloud suggests a possible bottom after excessive decline. Although the MACD signals a sell, several oscillating indicators show signs of improvement. Overall, following consecutive adjustments, conditions for a short-term technical rebound are gradually accumulating. Key support levels for the Hang Seng Index are seen at 24,898 points and 24,447 points, with resistance at 25,900 points and 26,762 points. It will be crucial to observe whether it can stabilize above the 25,900-point resistance level, which will determine the strength of the short-term rebound. Last Friday (20th), key blue-chip stocks showed mixed performance, AIA, $PING AN (02318.HK)$ 、 $HSBC HOLDINGS (00005.HK)$ recorded gains, while the remaining seven fell. Alibaba and Xiaomi saw significant declines. The technical indicator breakdown follows: 1. Oversold stocks: $TENCENT (00700.HK)$ Closed at 508 yuan, down 0.97%. The closing price was below all major moving averages, with RSI falling to 37, entering oversold territory. The technical buy signal strength is 11, indicating a strong short-term oversold rebound signal. $BABA-W (09988.HK)$ Closed at 123.7 yuan, down 6.29%, with RSI dropping to 31...
Product Picks:
In combination with the Hang Seng Index’s technical trends, two selected warrant products suitable for short-term market rhythm have been chosen, both focused on the Hang Seng Index target, offering controllable risk and fitting the current market environment.
1、 $UB-HSI @EC2605A.C (23090.HK)$Leverage 17.9, strike price 26733, relatively low implied volatility, suitable for investors who are optimistic about a short-term rebound in the Hang Seng Index and seek stable swing trading returns.
2、 $BI#HSI RC2801J.C (57737.HK)$Leverage 22, recovery price 24218, relatively low premium, aligns with expectations of an oversold bottoming-out for the Hang Seng Index, offering high flexibility for swing trading.
Last Friday (March 20th) $Hang Seng Index (800000.HK)$ The index closed at 25,277.32 points, down 0.88% for the day, with trading volume of 342.518 billion yuan. Technical indicators signal a buy with strength level 9. According to the indicators, the Williams %R is in oversold territory, giving a buy signal, while the Ichimoku Cloud suggests a possible bottom after excessive decline. Although the MACD signals a sell, several oscillating indicators show signs of improvement. Overall, following consecutive adjustments, conditions for a short-term technical rebound are gradually accumulating. Key support levels for the Hang Seng Index are seen at 24,898 points and 24,447 points, with resistance at 25,900 points and 26,762 points. It will be crucial to observe whether it can stabilize above the 25,900-point resistance level, which will determine the strength of the short-term rebound. Last Friday (20th), key blue-chip stocks showed mixed performance, AIA, $PING AN (02318.HK)$ 、 $HSBC HOLDINGS (00005.HK)$ recorded gains, while the remaining seven fell. Alibaba and Xiaomi saw significant declines. The technical indicator breakdown follows: 1. Oversold stocks: $TENCENT (00700.HK)$ Closed at 508 yuan, down 0.97%. The closing price was below all major moving averages, with RSI falling to 37, entering oversold territory. The technical buy signal strength is 11, indicating a strong short-term oversold rebound signal. $BABA-W (09988.HK)$ Closed at 123.7 yuan, down 6.29%, with RSI dropping to 31...
Last Friday (March 20th) $Hang Seng Index (800000.HK)$ The index closed at 25,277.32 points, down 0.88% for the day, with trading volume of 342.518 billion yuan. Technical indicators signal a buy with strength level 9. According to the indicators, the Williams %R is in oversold territory, giving a buy signal, while the Ichimoku Cloud suggests a possible bottom after excessive decline. Although the MACD signals a sell, several oscillating indicators show signs of improvement. Overall, following consecutive adjustments, conditions for a short-term technical rebound are gradually accumulating. Key support levels for the Hang Seng Index are seen at 24,898 points and 24,447 points, with resistance at 25,900 points and 26,762 points. It will be crucial to observe whether it can stabilize above the 25,900-point resistance level, which will determine the strength of the short-term rebound. Last Friday (20th), key blue-chip stocks showed mixed performance, AIA, $PING AN (02318.HK)$ 、 $HSBC HOLDINGS (00005.HK)$ recorded gains, while the remaining seven fell. Alibaba and Xiaomi saw significant declines. The technical indicator breakdown follows: 1. Oversold stocks: $TENCENT (00700.HK)$ Closed at 508 yuan, down 0.97%. The closing price was below all major moving averages, with RSI falling to 37, entering oversold territory. The technical buy signal strength is 11, indicating a strong short-term oversold rebound signal. $BABA-W (09988.HK)$ Closed at 123.7 yuan, down 6.29%, with RSI dropping to 31...
Risk Warning: Warrants are derivatives with significant leverage effects; investors should choose based on their risk tolerance and manage positions appropriately.
The Hang Seng Index has shown an oversold buy signal. Would you choose to invest in Hang Seng Index warrants, or will you continue to wait and see? Feel free to share your insights in the comments section.
For more market analysis, stay tuned to Jenny's daily updates on 'Hong Kong Stock Warrants'!
Reminder: This article does not constitute any investment advice.
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; a comprehensive assessment of asset performance should be conducted using additional data. Decisions to trade should not be based solely on this article. Please note that past performance is not indicative of future results.
#HongKongStocks #RealTimeAnalysis #WarrantsSelection #WarrantsStrategy #DerivativesHedging #HongKongWarrantsJenny #TencentHoldings #Alibaba #BlueChipStocks #TechnicalAnalysis
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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