Hang Seng Index Chart Analysis
- Taking a look at the HSI, we can see that price has been in a range for the past week, consolidating between the 61.8% and the 50% Fibonacci level. From a technical perspective, price is currently close to the end of an ascending triangle pattern as well as the crossover of the 2 trend lines. We can expect big swings in the coming week if price breakouts of these formations.
- If price opens or closes above the 61.8% Fibonacci level in the coming week, we can look towards the 78.6% Fibonacci level (red arrow) for the next T/P point. If price instead opens or closes below the bottom trendline, we can look at the 38.2% Fibonacci level (green arrow) for the next T/P point on the downside.
- However, with the volatility and uncertainties over the weekend, fundamental and market sentiments could swing price either ways and therefore traders should be aware of both scenarios if they were to happen.
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