HKEX(0388.HK): Potential Bearish Continuation

Published On: 29 September 2023, 9:05 AM | Alex Lee, Assistant Manager, Dealing

Key Entry Price Pivot(s)

• HK$300

Recommended Trade

• Short at HK$300
• Stop Loss at HK$320
• Take Profit 1: HK$280. Take Profit 2: HK$269. Take Profit 3: Trailing stop.

Alternative Case

• Long at HK$320
• Stop Loss at HK$279
• Take Profit at HK$336

Remarks

• Looking at the daily chart of HKEX, we can see that price is in a downwards channel.
• Currently, price is rejecting the resistance of the channel with strong volume thereby presenting an opportunity for shorting.
• We may see price extending towards the support of the channel however partial profit taking is recommended.
• An alternative case is presented in the event of a breakout towards the long side.