U.S. Stocks
Fundamental Analysis:
U.S. stocks rose Monday, 25th April 2022, with the Nasdaq closing sharply higher after Twitter agreed to a buyout offer from billionaire Elon Musk, pushing growth stocks to rally in late trading.
The S&P 500 was in decline for most of the session, but rose after the Twitter announcement. Meanwhile, the S&P 500 Growth Stock Index closed up more than 1%, also reversing earlier losses.
The market now expects the Fed to raise interest rates sharply this year to control inflation after policy makers made a series of hawkish statements. Fed Chairman Jerome Powell said last week that he might support a 50 basis point rate hike in May and said he was open to exiting ultra-loose monetary policy in a “front-end force” manner.
Technical Analysis:
(Dow 30, 1-hour chart)
Execution Insight:
The Dow focuses on the 33390-line today. If the Dow runs stably above the 33390-line, it will pay attention to the suppression strength of the 34088 and 34477 positions. If the Dow breaks below the 33390-line, it will pay attention to the support strength of the 32975 and 32781 positions.
Hong Kong Stocks
Fundamental Analysis:
The official website of the People’s Bank of China (PBOC) released news that the reserve requirement ratio for foreign exchange deposits of financial institutions will be lowered by 1 percentage point starting from 15th May 2022. That is, the reserve requirement ratio for foreign exchange deposits will be lowered from the current 9% to 8%.
Overnight U.S. stocks rebounded, most Chinese stocks moved up, driving the collective rise of Hong Kong technology stocks this morning, the Hang Seng TECH Index (HSTECH) opened 2.07% higher.
Among them, XPeng Inc. (9868.HK) rose more than 5%, Baidu, Inc. (9888.HK), JD.com, Inc. (9618.HK), Li Auto Inc. (2015.HK) rose more than 4%, Bilibili Inc. (9626.HK), Alibaba Group Holding Limited (9988.HK) rose more than 3%, NetEase, Inc. (9999.HK), Meituan (3690.HK) rose more than 2%, Kuaishou Technology (1024.HK), Tencent Holdings Limited (0700.HK) rose more than 1%.
Technical Analysis:
(HK50, 1-hour chart)
Execution Insight:
HK50 focuses on the 19517-line today. If HK50 can run stably above the 19517-line, then pay attention to the suppression strength of the 20467 and 21450 positions. If the HK50 runs below the 19517-line, then pay attention to the support of the 18606-line.
FTSE China A50 Index
Technical Analysis:
(FTSE China A50, 1-hour chart)
Execution Insight:
FTSE China A50 pays attention to the 12733-line today. If the A50 runs steadily above the 12733-line, pay attention to the suppression strength of the two positions of 13157 and 13983. If the A50 runs below the 12733-line, it will open up further downside. At that time, pay attention to the support of the 12341-line.
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Disclaimer
While every effort has been made to ensure the accuracy of the information in this document, DOO Prime does not warrant or guarantee the accuracy, completeness or reliability of this information. DOO Prime does not accept responsibility for any losses or damages arising directly or indirectly, from the use of this document. The material contained in this document is provided solely for general information and educational purposes and is not and should not be construed as, an offer to buy or sell, or as a solicitation of an offer to buy or sell, securities, futures, options, bonds or any other relevant financial instruments or investments. Nothing in this document should be taken as making any recommendations or providing any investment or other advice with respect to the purchase, sale or other disposition of financial instruments, any related products or any other products, securities or investments. Trading involves risk and you are advised to exercise caution in relation to the report. Before making any investment decision, prospective investors should seek advice from their own financial advisers, take into account their individual financial needs and circumstances and carefully consider the risks associated with such investment decision.
