April 28th [Hong Kong Stock Podcast] Part-2: Kingboard Laminates, Sunny Optical, HSBC Holdings

1. Kingboard Laminates (01888.HK): The trend has doubled in a month, with investors questioning where the resistance lies. Some investors are targeting 40 HKD, holding call warrants with an exercise price of 40 HKD.

On April 28, KBP Group closed at $35.620, surging 7.35%. The share price is moving along the 5-day and 10-day moving averages, showing strong short-term momentum.

Technically, the share price is above the 5-day line at $33.568, the 10-day line at $30.786, the 20-day line at $26.196, the 30-day line at $24.490, and the 60-day line at $21.863, forming a complete uptrend structure. On April 28, the closing price approached the high of $36.500 while nearing the upper Bollinger Band at $36.774. Short-term resistance is concentrated in the range of $36.500 to $36.774.

The Relative Strength Index (RSI) stands at 87.507, which is clearly overheated. This indicates that the upward momentum remains strong, but the short-term risk-reward ratio for entering now is not favorable. Caution is needed regarding high volatility and profit-taking risks. Immediate support is seen at 33.568 HKD, followed by 30.786 HKD.

Some investors noted that the stock price has doubled in a month and are focusing on where the resistance lies. Based on the current technical position, the first resistance level is $36.500, followed by the upper Bollinger Band at $36.774. A breakout and sustained trading above these levels would create conditions for further upward movement.

Other investors are targeting $40 and holding call warrants with an exercise price of $40. If the stock can break through the resistance zone between $36.500 and $36.774, $40 could be the next upside target. However, given the sharp rise on April 28 and the overheated RSI, if the stock fails to break above $36.774, warrant holders need to watch out for profit-taking and time decay risks.

2. Sunny Optical Technology (02382.HK): Investors indicate that a drop to the support level of 60 HKD could be a good entry point. Other investors are targeting 50 HKD and holding put warrants with an exercise price of 58.88 HKD.

On April 28, Sunny Optical closed at $62.450, down 6.23%. In the short term, the share price retreated from its highs, breaking below the 5-day line at $64.130 and the 10-day line at $64.110, weakening the trend.

Technically, the share price remains above the 20-day line at $61.498, the 30-day line at $59.403, and the 60-day line at $58.777. Immediate support is seen at $61.498, followed by the $60 to $59.403 area. Initial resistance is at $64.130 to $64.110, followed by the high of $67.500 and the upper Bollinger Band at $69.421.

The Relative Strength Index (RSI) stands at 44.764, indicating weakened short-term momentum. The middle line of the Bollinger Bands is at $61.498, and the April 28 close was slightly above this, showing that medium-term support has not been completely broken, but rebound strength has significantly diminished.

Some investors indicate that a drop to the support level of 60 HKD could be a good entry point. From a technical perspective, 60 HKD is near the 30-day moving average at 59.403 HKD and the 60-day moving average at 58.777 HKD, making it a significant support area. If the stock price falls to around 60 HKD without breaking below, this could indeed be viewed as a strategy to wait for support; however, if it breaks below 59.403 HKD, it would indicate further weakness, requiring attention to additional downside risks.

Other investors are targeting 50 HKD and hold put warrants with an exercise price of 58.88 HKD. If the stock price breaks below the support zone between 60 HKD and 59.403 HKD, short positions may have better continuation potential; however, if the stock holds above 60 HKD and rises above the resistance zone between 64.130 HKD and 64.110 HKD, put warrant holders should be cautious about rebound risks.

3. HSBC Holdings (00005.HK) investors are asking if the gap will be filled, at HKD 131? Some investors hold bear certificates with a stop-loss level of HKD 147.

HSBC Holdings closed at HKD 140.600 on April 28th, consolidating at high levels in the short term. The stock price is below the 5-day line at HKD 141.180 and the 10-day line at HKD 141.700 but remains above the 20-day line at HKD 137.425, the 30-day line at HKD 132.960, and the 60-day line at HKD 133.187, so overall, it has not completely turned weak.

Technically, the immediate resistance is seen at HKD 141.180 to HKD 141.700, followed by the high at HKD 144.480; immediate support is seen at HKD 137.425, followed by the zone between HKD 132.960 and HKD 133.187. Only if it breaks below HKD 137.425 does one need to watch for the possibility of filling the lower gap.

The Relative Strength Index (RSI) stands at 53.483, indicating neutral-to-weak short-term momentum. The middle band of the Bollinger Bands is at HKD 137.425, and as of April 28th, the stock price remained above the midline, suggesting that it is still holding above key support levels.

Some investors are asking whether it will fill the lower gap and return to around HKD 131. Based on the current technical position, the stock price needs to first break below HKD 137.425, then further lose the zone between HKD 132.960 and HKD 133.187, before increasing the chances of testing HKD 131; if it can still hold above HKD 137.425, it should still be viewed as consolidation at higher levels in the short term.

Other investors hold bear contracts with a stop-loss price of HKD 147. Since HKD 147 is above the recent high of HKD 144.480, the deployment assumes the stock will fail to break through its previous high. If HSBC cannot regain HKD 141.700 and break above HKD 144.480, there is still justification to hold the bear contract; however, if the stock price rises above HKD 144.480 and approaches HKD 147, the associated deployment risks will significantly increase.

Reminder: This article does not constitute any investment advice.

This article is for reference only and does not constitute any investment advice. Market data, opinions, and analyses contained herein may change at any time without prior notice. We are not responsible for any losses or damages caused by reliance on the information in this article. Technical analysis only indicates whether certain technical conditions are met and should be used alongside other data for a comprehensive assessment of asset performance; trading decisions should not be made solely based on this article. Note that past performance is not indicative of future results. Follow Jenny’s HK warrants for more professional insights. $Hang Seng Index (800000.HK)$$Hang Seng TECH Index (800700.HK)$$Hang Seng China Enterprises Index (800100.HK)$

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