U.S. Stocks
Fundamental Analysis:
All three major U.S. stock indexes tumbled by more than 2.5% on Friday, 22nd April 2022, hitting a new low of more than a month, as surprising corporate earnings news and the increased certainty of a sharp interest rate hike in the near term kept investors on edge.
That said, this is the third straight weekly decline for S&P 500 and Nasdaq, and the fourth straight weekly loss for the Dow Jones Industrial Average. During this interval, the Dow fell 2.82% on Friday, its biggest one-day decline since October 2020.
Technical Analysis:
(Dow 30, 1-hour chart)
Execution Insight:
The Dow focuses on the 35110-line today. If the Dow runs steadily below the 35110-line, then the Dow at 34724 and 34477 will pay attention to the 34088-line today. If the Dow runs steadily below the 34088-line, it will focus on 33390 and 32975 position of supporting strength. If the strength of the Dow breaks through the 34088-line, then pay attention to the suppression strength of the two positions of 34477 and 34724.
Hong Kong Stocks
Fundamental Analysis:
On Friday, European and American stock markets sank, while Hong Kong stock indexes opened collectively lower. The Hang Seng Index (HSI) fell 1.71%, the Hang Seng China Enterprises Index (HSCEI) fell 1.84%, and the Hang Seng TECH Index (HSTECH) fell 2.88%.
On the market, large technology stocks were lower across the board, with Baidu, Inc. (9888.HK) down 3.6%, NetEase, Inc. (9999.HK) down 3%, while JD.com, Inc. (9618.HK), Kuaishou Technology (1024.HK), Meituan (3690.HK) and Tencent Holdings Limited (0700.HK) were all down by over 2%.
Meanwhile, banking stocks and insurance stocks fell significantly, with Tian Huiyu being investigated, leading to China Merchants Bank Co., Ltd. (3968.HK) down by 5% and China Life Insurance Company Limited (2628.HK) down by nearly 7%.
F&B stocks, home appliance stocks, semiconductor stocks, auto stocks, education stocks, non-ferrous metal stocks, domestic housing stocks and property management stocks were down.
On the other hand, pharmaceutical stocks and shipping stocks were individually stronger, as Fosun Pharmaceutical (Group) Co., Ltd. (2196.HK) opened 5.6% higher.
Technical Analysis:
(HK50, 1-hour chart)
Execution Insight:
HK50 focuses on the 20467-line today. If HK50 can run stably below the 20467-line, then focus on the support strength of 19517 and 18606. If HK50 runs above the 20467-line, then pay attention to the suppression strength of 21450 and 22127.
FTSE China A50 Index
Technical Analysis:
(FTSE China A50, 1-hour chart)
Execution Insight:
FTSE China A50 pays attention to the 13157-line today. If the A50 runs stably above the 13157-line, pay attention to the suppression strength of the 13983 and 14669 positions. If the A50 runs below the 13157-line, it will open up further downside. At that time, pay attention to the support of the 12733-line.
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Trading in financial instruments involves a high degree of risk due to fluctuations in the value and price of the underlying financial instruments. Due to the adverse and unpredictable market movements, large losses exceeding the investor’s initial investment could incur within a short period of time. The past performance of a financial instrument is not an indication of its future performance.
Please make sure you read and fully understand the trading risks of the respective financial instrument before engaging in any transaction with us. You should seek independent professional advice if you do not understand the risks disclosed by us herein.
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.
