Bullish Stance On Hang Seng Index Futures Despite Mild Pullback
On Friday, the HSIF slipped 198 points to close at 24,834, ending its recent upward streak. The index opened at 25,033 and briefly touched 25,060 before profit-taking pushed it to an intraday low of 24,779. It ended near the day's low, forming a bearish candlestick. However, during the evening session, the contract rebounded 103 points to 24,937.
RHB Research stated that the pullback has not disrupted the bullish technical structure, as the Relative Strength Index (RSI) remains above 50% and the 20- and 50-day simple moving averages continue to trend upwards. It noted that as long as the index stays above 23,000 points, market sentiment is likely to remain in favour of the bulls.
The brokerage advised traders to maintain the long position initiated at 21,416 on April 14, with a stop-loss at 23,000 points. Support levels are at 23,800 and 23,000, while immediate resistance is at 26,000, followed by 27,000.
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